Santiago Rodriguez Province
One of 15 tobacco provinces (industry: 110,000 jobs, $400M in 4 months 2024); border zone with 30-year tax incentives; trades tobacco, beeswax, timber.
Santiago Rodríguez Province lies in the tobacco-growing fringe of the Cibao Valley, where the capital city serves as a commercial center for tobacco, beeswax, timber, and hides. The Dominican Republic has become the world's largest producer of handmade premium cigars, and Santiago Rodríguez is one of 15 tobacco-producing provinces supporting an industry that employed 110,000 people and generated over $400 million in the first four months of 2024 alone.
As one of seven border provinces, Santiago Rodríguez qualifies for 30-year tax incentives under Law 28-01 (extended from 20 years by Law 12-21 in 2021). These exemptions—covering income tax, sales tax, and import duties on equipment—aim to attract investment where proximity to Haiti's instability otherwise deters development. The mountainous terrain limits large-scale agriculture but supports small-scale coffee, beans, and cattle.
By 2026, Santiago Rodríguez will test whether border development incentives can catalyze manufacturing beyond agriculture. If free zone investments arrive and tobacco processing facilities capture more value locally, the province could diversify its economy while leveraging proximity to the Cibao's industrial heartland. If border concerns and infrastructure deficits persist, the incentives designed to accelerate development may simply extend the status quo.