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Congress Completes Mock Markup on CAFTA-DR Draft (6-20-05)

The Senate Finance Committee and the House Ways and Means Committee approved the draft of the Central American Dominican Republic Free Trade Agreement (CAFTA-DR) last week in mock markups.

The Senate Finance Committee passed the agreement in an 11-8 vote while forwarding one legislative recommendation to the Bush administration that would extend trade adjustment assistance (TAA) benefits to service workers. The House committee passed the agreement by a 25-16 vote.

An amendment by the House chairman was adopted that included a requirement that the administration report on activities by the CAFTA-DR countries and that the United States build capacity on labor issues.  The amendment also included a provision noting CAFTA-DR will have a positive impact on the U.S. services industry.  This would require the administration examine after one year the effect the agreement has had on the services industry and requires the administration to make recommendations as to how the TAA program should be amended if CAFTA-DR has negative effects on the services industry.

“NCGA, along with numerous other agricultural representatives, have been working hard to gain acceptance of this agreement by Congress,” National Corn Growers Association (NCGA) President Leon Corzine said. “We are very hopeful that CAFTA-DR will be approved by Congress before the July 4 recess. This agreement is truly beneficial to all of the agriculture community. It puts the United States and our agriculture products as the preferred supplier to these democratic nations which are our neighbors and partners within our own hemisphere.”

Corzine also noted the agreement will balance the very high duties on commodity products while also opening new markets for our industry to continue to be competitive on the world scale.

The administration is soon expected to send back to Congress its changes, if any, to the implementing language. Congress will then be able to officially vote on the agreement.

NCGA anticipates seeing movement on the agreement in the next two and half weeks. The White House is expected to send final implementing legislation for the agreement to Congress early next week.  According to news sources, Bush administration officials were discussing with GOP leaders last Thursday whether to press for a vote before the Independence Day recess or shoot for floor action in both chambers during July.

There is still a lot of work to get CAFTA-DR passed, without nullifying provisions or exclusions.
With momentum growing steadily, NCGA reminds its members to contact their congressional leaders by calling or sending letters of support for CAFTA-DR.

NCGA anticipates seeing movement on the agreement in the next two and half weeks. 

Last reviewed June 20, 2005



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