US Industry Applauds Passage of Trade Agreements
The agreements, which passed with bipartisan support, will lead to enhanced U.S. competiveness and increased U.S. exports to dynamic and growing markets in Asia and Latin America.
Oct 14 2011 --- Archer Daniels Midland Company (ADM) has commended US Congress for passing free trade agreements (FTAs) with Colombia, South Korea and Panama.
The agreements, which passed with bipartisan support, will lead to enhanced U.S. competiveness and increased U.S. exports to dynamic and growing markets in Asia and Latin America. They will further the Obama Administration’s National Export Initiative goal of doubling U.S. exports by 2014 bolstering economic growth and creating jobs. The agreements will be particularly significant for the agricultural sector, where they represent an estimated $2.5 billion in new exports and support for up to 22,500 jobs, the company claims.
“Passage of the free trade agreements with Colombia, South Korea and Panama is a significant step forward in reaching the National Export Initiative’s goal of doubling exports by 2014,” said Patricia A. Woertz, Chairman and CEO of Archer Daniels Midland Company and a member of the President’s Export Council. “On behalf of ADM, I applaud the bipartisan congressional effort, which led to quick consideration and passage of the agreements after President Obama submitted them to Congress last week. We urge the president to sign these FTAs into law quickly so that American farmers can enjoy the benefits of increased access to these growing markets as soon as possible.”
Cargill said that it marks a significant milestone in U.S. trade history that it believes will pay economic dividends as well as help improve living standards across the globe.
By eliminating tariffs and opening market access, the new FTAs will usher in greater opportunity for American workers, manufacturers, farmers and ranchers to increase their market share. Additionally, the elimination of trade barriers through these FTAs, will help address food security needs by lowering prices for consumers in these markets and by making it easier for food to flow across borders.
“These FTAs represent sound policy that is good for farmers, workers, manufacturers and business and will benefit the U.S. economy,” said Greg Page, Cargill chairman and chief executive officer. “With these agreements in place, we now look forward to additional regional and multilateral agreements to help further benefit our global marketplace.”
The California walnut industry welcomed the news of the passage of the United States and South Korean Free Trade Agreement (KORUS), which is expected to bring immediate duty reduction to walnuts exported to the Korean market.
The import duty on shelled walnuts will fall from 30% to zero over six years and the in-shell duty to zero over 15 years. Once ratified, an immediate reduction will drop the duties 5%, effectively phasing out the shelled duty in 5 years and the in-shell duty in 14 years. “The agreement as structured will greatly benefit agriculture and specifically California agriculture. We have been engaged in this process since the beginning and appreciate the hard work it has taken to get here,” states John J. (Jack) Gilbert, Chairman of the California Walnut Commission’s (CWC) Issues Management Committee. Jack Mariani, Vice Chairman of the CWC’s Issues Management Committee adds, “Our industry has made significant investments in the South Korean market and we eagerly anticipate the new opportunities for growth the agreement provides.”
