Afghanistan, Pakistan Trade Zone Proposed

Some day, Afghanistan and Pakistan could become apparel centers whose goods arrive duty-free into the United States.

Lawmakers in the U.S. Senate and House of Representatives reintroduced legislation on March 3 that would set up “Reconstruction Opportunity Zones” in those two countries. There, factory-made items, including textiles and apparel, could be imported into the United States without paying customs duties. Duties on clothing can add as much as 34 percent to an item’s value.

The zones would be located primarily in the poor tribal regions of Afghanistan and Pakistan where terrorists and the Taliban have been operating. The idea is to stimulate economic activity and development in the border regions that are critical fronts against terrorism. The two bills, S. 496 and H.R. 1318, would be in effect until Sept. 30, 2023.

Originally, the legislation was introduced under the Bush administration, but it also has the backing of the Obama administration.

No date has been scheduled for a vote on the two bills. —Deborah Belgum