Economy of the Northern Mariana Islands
An agreement for the years 1986 to 1992 entitled the islands to $228 million for capital development, government operations, and special programs.
The agricultural sector is of minor importance and is made up of cattle ranches and small farms producing coconuts, breadfruit, tomatoes, and melons.
CNMI hopes to attract tourists again from Japan, requiring direct flights to increase between Saipan and Japanese cities.
[6] Garment production was an industry back then with the employment of 12,000 mostly Chinese workers and shipments of $1 billion to the United States in 1998 under duty and quota exemptions.
This production is extremely controversial because goods produced in the North Marianas can be labeled "Made in the U.S.A.", although not all American labor laws apply to the commonwealth leading to what critics charge as "sweatshop conditions" for imported, mostly Asian, workers.
[citation needed] In the late 1990s a number of large American textile companies such as Calvin Klein, Tommy Hilfiger, and Sears were criticized for having manufactured clothes in sweatshop conditions in Saipan.
In March 2000, a number of defendants, settled a class action suit brought by Saipanese garment workers, which had alleged mistreatment.
As part of the settlement, which involved no admission of wrongdoing, Tommy Hilfiger and other companies agreed to independent oversight of their manufacturing in Saipan, a term refused by other defendants such as Lane Bryant and J.C.
[citation needed] At its peak there were 34 garment factories, but they began closing in the early 2000s, especially after 2005 when the World Trade Organization removed quotas.
Labor force: 6,006 total indigenous labor force; 2,699 unemployed; 28,717 foreign workers (1995) Labor force – by occupation: managerial 20.5%, technical, sales 16.4%, services 19.3%, farming 3.1%, precision production 13.8%, operators, fabricators 26.9% Unemployment rate: 14% (residents) Budget: revenues: $221 million expenditures: $213 million, including capital expenditures of $17.7 million (1996) Industries: tourism, construction, garments, handicrafts Industrial production growth rate:
