This morning, President Rafael Correa, confirmed that the final phase of the Andean Trade Preference U.S. (ATPDEA) would not cause unemployment in Ecuador and said tax compensation to both employers and producers.
Correa said: “I assure you will not lose a single job for the diplomatic impasse, but we do respect the dignity and sovereignty of this country.”
The Ecuadorian president signed a decree which will apply a tax bond to “offset the losses” for the eventual disappearance of the ATPDEA and indicated that with the compensation it would not be rationale to lost “jobs” in the country.
Nathalie Cely, Minister of Production, announced last Monday that they will grant a Certificate of Tax Credit aimed at a thousand companies and 500 manufacturers in the context of a support strategy to improve competitiveness. She expressed that if the disappearance of the ATPDEA is real some 18,000 jobs in export sectors will be at risk such as flowers, broccoli, tuna, and fruit.
A 5% of the sales with the United States would be affected in case Washington declares the expiration of ATPDEA with Ecuador.
Source: El Comercio Newspaper