Tuesday, February 28, 2012

Draft dodgers no more - Can the Dominican Republic avoid Puerto Rico’s fate?

http://www.economist.com/node/21546064

Baseball in Latin America

Draft dodgers no more

Can the Dominican Republic avoid Puerto Rico’s fate?


 
Try a cricket bat instead SEEN from the air, much of Puerto Rico’s northern coast is a mosaic of rooftops and treetops dotted with countless baseball diamonds. The island of 4m has sent a total of 234 players to America’s Major League Baseball (MLB)—twice as many as Mexico. Its Baseball Hall of Fame, just outside San Juan, features a salon full of life-size statues of Puerto Rico’s athletic pantheon. It even includes a famous broadcaster seated at his microphone.

Today, however, the fields are mostly used for football. Just 2.6% of MLB players are Puerto Rican, down from 4.3% in 2001. The island’s renowned winter baseball league cancelled its season in 2007. A typical game now draws fewer spectators than nearby women’s volleyball matches. Its four teams are on the block for around $750,000 each. No one is buying. Several factors account for this decline. They include better job opportunities outside sports and competition from basketball, reggaetón music, multiplexes and malls. But the biggest was MLB’s inclusion of the island in its amateur draft in 1990.

Every year, MLB teams select 1,500 players from schools and universities. The clubs get to pick in reverse order of their finish in the league the previous season. Draftees can negotiate only with the team that chooses them. Officially, the draft is meant to help the worst teams by giving them the best young talent. But all clubs love it because it reduces signing bonuses.

When the draft began in 1965, only Americans were eligible. But 25 years later MLB extended it to Canada and Puerto Rico. In theory, this should not have affected the number of Puerto Ricans signed, since undrafted players become free agents, who can sign with any team they wish. But in practice, MLB clubs rarely sign them; they tell them to go to university and try their luck in the draft later on. The draft thus forced Puerto Ricans to compete with Americans for a fixed number of places.



Moreover, whereas Puerto Ricans could previously be signed at age 16, a high-school degree (usually given at 18) is required for the draft. Since the island’s schools do not have baseball teams, its 16- and 17-year-olds had nowhere to train. As a result, the number of Puerto Rican MLB signings fell by 13% in 1991-92. Meanwhile, players from the Dominican Republic (DR) and Venezuela remained free agents. Their numbers soared (see chart).

Now those countries may be facing Puerto Rico’s fate. As more clubs started to recruit in Latin America, signing bonuses took off: the average payout in the DR rose from $29,000 in 2004 to $108,000 in 2008. In response, teams tried to cut costs. In November MLB’s teams and its players’ union reached a deal that levies a tax on clubs whose spending on foreign free agents exceeds a cap. It also sets up a committee to institute an international draft by 2014.

In the DR, MLB’s biggest source of foreign players, the reaction has been apoplectic. Baseball is big business there: MLB’s direct value to the economy is $125m-150m a year (0.3% of GDP). Its 30 clubs all have training academies for their players, mainly in poor rural areas. They employ 1,200 people, many in new professions like groundskeeper and sports nutritionist. And in response to criticism that they exploit youngsters, they are offering better education. The Pittsburgh Pirates require four hours of class a day, and last year granted 13 high-school degrees.

The indirect benefits are bigger still. An estimated 2,000-3,000 scouts and trainers, called buscones, scour the country for players and house, feed and instruct them until they sign an MLB contract. They charge 30% of the bonus. Some buscones employ dozens of workers. The winter league plays nearly 200 games a year, each drawing thousands of fans. Casa de Campo, a golf resort, now has a Latino Baseball Hall of Fame. Many players also have charities: Pedro Martínez, a star pitcher, has built a youth centre offering art, cooking and computer classes to 300 students. A draft could put all this in peril, by reducing bonuses and possibly the number of contracts.

Rafael Pérez, MLB’s director of Dominican operations, insists that MLB wants at least to maintain the current number of foreign signings. But many buscones accuse MLB of selling out Latinos to protect American players’ jobs. They note there is just one Latino on MLB’s international-talent committee—who, as the son of an MLB player, mostly grew up in America. “I feel like we’re being invaded, like it’s 1965 all over again,” says Astin Jacobo, a buscón, referring to America’s occupation of the DR. “We’re only number one in one thing, and that’s baseball. We can’t give that away.”

A group of Dominican buscones has already held anti-draft protests. They might convince MLB to set up a separate draft for foreigners with an eligibility age of 16, which would be less disruptive than extending America’s draft abroad. But stopping the draft entirely will be hard.Many buscones talk of a strike. But they have not formed a union. Even if they do, they could not stop their players from opting to sign with MLB teams.That leaves the government. Felipe Payano, the sports minister, has already written a letter to Bud Selig, MLB’s commissioner, expressing his opposition to a draft. He says his office is investigating whether it might violate the DR’s free-trade agreement with America. Another option would be to sue MLB for collusion under Dominican antitrust law. But it would take a lot of pluck for a small, poor, baseball-dependent country to pick a fight like that.

13 comments:

  1. America’s Major League of Baseball (MLB) is actually a huge source if income for countries other than the United States, particularly Latin American countries. For example, the MLB actually supports the economy of the Dominican Republic by around $125-150 million dollars per year, which is 0.3% of their overall GDP. However, this could drastically change if the MLB required them to participate in an international draft, which would significantly lower signing bonuses. The MLB has already enforced the draft in Puerto Rico, which has caused their profits and number of signings to decrease ever since. Personally, I think it would be really unfortunate if enforcing an international draft hurts the Dominican Republic, as well. On the other hand, it is pretty unfair for Puerto Rico to be forced to participate in the draft when players from the Dominican Republic can sign contracts as free agents. So, in my opinion, whatever the MLB decides, they need to standardize their rules for all foreign nations wanting to participate in American baseball.
    Katelyn Ruppert
    SPN110 12pm

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  2. If the MLB is able to draft from foreign countries, especially Puerto Rico, I think its better for baseball and the league. Players will have to be better to compete with others itching to make it to the big leagues. The draft in Puerto Rico is appropriate due to the US' unique relations with the island. In my opinion, that relationship is only going to become stronger as time goes on. If the economies of the DR and PR grow due to baseball, that is fantastic. The only problems they would face in this regard would be declining popularity of baseball or fewer players. As the sport is such an important part of the culture, I don't see this happening any time soon. On the other hand, I do think that PR and the DR should both be able to sign contracts as free agents if they are forced into the MLB draft.

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  3. The MLB has been able to save a lot of teenagers lives and bring them to the united states to give them a career they would have only dreamed of if still leaving in the latin american countries. the MLB shouldn't stop Puerto Rico people from being free agents and being drafted to the major leagues. its a chance for kids to start a life for themselves that will give them a future. Right now it looks like Dominican Republic are sign free agents and Puerto Rico cannot, i think that this needs to change.

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  4. I think the Dominican buscones' suggestion to " convince MLB to set up a separate draft for foreigners with an eligibility age of 16, which would be less disruptive than extending America’s draft abroad" is a good idea. After reading this article a few times, I would say that this would be the best solution. I found this article in particular a little confusing and hard to follow because I am not familiar with baseball drafting, especially in foreign countries. However, it is evident that there is an issue and need for change.

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  5. I think that the Major League of Baseball should be able to sign Puerto Rico as free agents like the Dominican Republic. This sport is a big part of the culture and has saved a lot of teens futures by giving them a career that they have hoped and dreamed for. I think that positive changes are just going to take time to happen in Latin America Countries.

    Melissa Patel; SPN 110

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  6. I believe that the same rules should apply to all the foreign countries involved in Major League Baseball. The countries offering players to the League should all either have their players participate as free agents or have their players participate in a draft; the rule should be the same for all of the foreign countries. As evidenced in this article, having the players participate as free agents is better for the foreign countries involved so perhaps this is the best rule to apply to all countries involved in the League.

    Meredith Lax, SPN 210G, 1:00 pm class, MWF.

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  7. More so, I feel as though it is the culture in Puerto Rico that has mostly contributed to the decline in the League. I know my Puerto Rican cousins that live there joke about "being stranded on the island"; in reality though, many Puerto Ricans never leave after their childhood and thus are never exposed to the baseball skills needed for the league like the article mentioned. I believe that this is a consistant trend since 2000, as shown on the graph.

    Sarah Lugo SPN 210G

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  8. I think that the MLB should not force the draft in any foreign countries. It is clear from what happened to Puerto Rico, that the draft only causes harm. The DR would be even more devastated from this change than Puerto Rico, considering how dependent the DR is on baseball. The article cites many ways in which baseball actually promotes education, such as the donations from players such as Pedro Martinez. Also, many jobs stem from MLB which would be potentially cut if they input the draft and devastated the economy. I agree with Melissa, that baseball gives many young men a chance to change and improve their lives and their future. I think that the MLB should not enforce the draft in the DR and should eliminate it in Puerto Rico.

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  9. I think that the MLB should not force the draft in any foreign countries. It is clear from what happened to Puerto Rico, that the draft only causes harm. The DR would be even more devastated from this change than Puerto Rico, considering how dependent the DR is on baseball. The article cites many ways in which baseball actually promotes education, such as the donations from players such as Pedro Martinez. Also, many jobs stem from MLB which would be potentially cut if they input the draft and devastated the economy. I agree with Melissa when she said that MLB can change a young man's life and possibly his future. I think the MLB should not enforce the draft in the DR and should eliminate it in Puerto Rico.

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  10. "234 players to America’s Major League Baseball" I thought this was a pretty high percentage of players from Puerto Rico being sent to MLB. I believe and agree with many of the comments above, like the article states there are many positives to MLB it brings jobs which helps to boost the economy and education. While there all positives I also believe that all countries should be fair and equal in the way that players are picked for MLB teams. If there are players that are doing great in surrounding countries there shouldn't be any hesitance to reject them because of their home land if they have the possibility to achieve great things and bring their name out into the spotlight as well as their countries. I do not think that the MLB should necessarily have to do an international draft but if they did it will benefit the other countries out a lot, by bringing recognition to their home lands and economic boosts

    ReplyDelete
  11. "234 players to America’s Major League Baseball" I thought this was a pretty high percentage of players from Puerto Rico being sent to MLB. I believe and agree with many of the comments above, like the article states there are many positives to MLB it brings jobs which helps to boost the economy and education. While there all positives I also believe that all countries should be fair and equal in the way that players are picked for MLB teams. If there are players that are doing great in surrounding countries there shouldn't be any hesitance to reject them because of their home land if they have the possibility to achieve great things and bring their name out into the spotlight as well as their countries. I do not think that the MLB should necessarily have to do an international draft but if they did it will benefit the other countries out a lot, by bringing recognition to their home lands and economic boosts

    ReplyDelete
  12. I don’t think that it is fair that Dominican Republic and Venezuela have a chance of being free agents and Puerto Rico does not. Baseball is such a big part of their culture and is now slowly going away. The MLB gives kids the chance to come to the United States to play baseball and gives a better life for them.

    SPN 210

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  13. I don’t think that it is fair that Dominican Republic and Venezuela have a chance of being free agents and Puerto Rico does not. Baseball is such a big part of their culture and is now slowly going away. The MLB gives kids the chance to come to the United States to play baseball and gives a better life for them.

    SPN 210

    ReplyDelete