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FOR
IMMEDIATE RELEASE
NCGA, USGC Urge Against NAFTA Renegotiation
Say outcome would harm U.S. corn producers
May
1 ,
2003
Contact: Tracy Taylor
Grondine, NCGA, 202.628.7001
Cheri Johnson, USGC,
202.789.0789
(WASHINGTON) May
1, 2003 — The National Corn Growers Association (NCGA) and the
U.S. Grains Council (USGC) are urging the U.S. Trade Representative
(USTR) against agreeing to a renegotiation of Mexico's commitments for
white corn under the North American Free Trade Agreement (NAFTA).
As part of the National
Farm Accord signed by President Vicente Fox on April 28, it is reported
the Mexican government will review the current NAFTA provisions for
white corn and dry beans. The review will assess mechanisms that may
be applied to manage imports of those commodities as tariffs are eliminated
under the NAFTA.
“Mexico is
the second largest market for corn growers in the United States,”
said NCGA President Fred Yoder. “Corn exports from the United
States have doubled since enactment of NAFTA and we should build upon
these accomplishments rather than retreat from trade liberalization.”
“We believe
renegotiation would be unwise and unproductive for both countries,”
said USGC Chairman Don Jacoby, “NAFTA is a working agreement that
provides benefits to both countries.”
Mexican farmers
have been publicly critical in recent months of NAFTA agriculture provisions
and have erected new trade barriers due to tariff reductions that occurred
in January. In a recent report issued by the USTR, the United States
pledged to cooperate with Mexico to resolve the trade barriers, but
warned, “the United States will not agree to alter or renegotiate
long-settled NAFTA provisions.”
"With elections
for the Mexican Congress approaching, it is natural that domestic pressures
from the agriculture industry have an affect on politicians," continued
Jacoby. "It would be unwise for the United States to succumb to
cross border rhetoric that could harm corn and livestock producers in
both countries."
“This is definitely
not the time to start renegotiating the corn provisions of NAFTA, especially
since the Mexican government currently discriminates against the entry
of U.S. high fructose corn syrup into its country,” concluded
Yoder. "Corn growers will continue to work with the USTR, the U.S.
Department of Agriculture and Congress to resolve trade differences
with Mexico, but negotiating a safeguard for bulk corn at this time
is a non-starter."
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The National Corn
Growers Association mission is to create and increase opportunities
for corn growers in a changing world and to enhance corn's profitability
and usage. NCGA represents more than 32,000 members, 25 affiliated state
corn grower organizations and hundreds of thousands of growers who contribute
to state checkoff programs.
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