|
FOR
IMMEDIATE RELEASE
NATIONAL CORN GROWERS ASSOCIATION
Mimi Ricketts,
NCGA (314-308-4290)
Cheri Johnson, USGC, (202) 789-0789
Norma Ritz Johnson, NGSP, (806) 749-3478
NCGA, USGC,
NGSP Applaud Completion of U.S.-Dominican Republic Agreement
WASHINGTON (March
16, 2004) -- The National Corn Growers Association (NCGA), U.S. Grains
Council (USGC), in partnership with the National Grain Sorghum Producers
(NGSP) and applaud the successful negotiations of a free trade agreement
(FTA) with the Dominican Republic. Through these negotiations, the U.S
feed grain industry locks in zero tariffs immediately for corn, sorghum,
barley and malt, as well as many related products.
“NCGA is pleased
with the Dominican Republic FTA and urges Congress to approve the comprehensive
CAFTA as soon as possible,” NCGA President Dee Vaughan said. “Free
trade agreements like this one are integral to our efforts to open markets
and expand opportunities for corn growers around the world. We thank
Ambassadors Zoellick and Allen Johnson for their efforts and will strongly
support their efforts on Capitol Hill to pass this agreement.”
By reaching this
agreement, the Dominican Republic will now be integrated into the Central
American Free Trade Agreement (CAFTA), U.S. Trade Representative Robert
B. Zoellick stated. The agreement expands the benefits of the CAFTA
to all seven countries – the United States, Costa Rica, El Salvador,
Guatemala, Honduras, Nicaragua and the Dominican Republic.
“By adding
the Dominican Republic to CAFTA, the U.S. will have duty-free access
to the six Central American countries for more than 2.6 million metric
tons of corn immediately upon implementation of the agreement,”
said Terry Wolf, USGC chairman. “In total, that makes for the
second largest feed grain market in Latin America behind Mexico. We
are very pleased with the outcome of this agreement as it addresses
all the commodities that the U.S. Grains Council represents.”
The Dominican Republic
in recent years has become an important market for U.S. feed grains
as imports of U.S. corn have grown to more than 1 million metric tons
annually. The U.S. currently has a 100 percent share of that market,
and the FTA ensures that at no time will any other competitor have a
tariff advantage over the United States.
“Because the
Dominican Republic already is applying zero duties to imports of most
feed grains, it is unlikely that an FTA would have a major immediate
impact on Dominican Republic demand,” Wolf continued. “However,
binding those tariff rates will ensure future U.S. feed grain imports
are available to the developing livestock industries at commercial costs.
And, the eventual opening of the Dominican Republic market to meat,
poultry and dairy products will enhance U.S. exports of those products
as well.”
Duty-free access
under tariff-rate quotas will be established for U.S. beef, pork, poultry
and dairy products. The two countries have agreed to work to resolve
sanitary and phytosanitary barriers to agricultural trade, in particular,
problems and delays in food inspection procedures for meat and poultry.
Of the commodities
covered in the agreement, sorghum is gaining the most. Duties will drop
from 8 percent to zero due to the agreement once it is approved by Congress.
At present, the United States is enjoying zero duty on corn, barley
and barley malt.
“The Caribbean
Basin holds tremendous opportunities for U.S. grains, including sorghum,”
said Dale Artho, NGSP vice president for foreign market development,
Wildorado, Tex. “We look forward to establishing new food and
feed grain opportunities there.”
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 33,000 members, 25 affiliated state
corn grower organizations and hundreds of thousands of growers who contribute
to state checkoff programs.
The U.S. Grains
Council is a private, non-profit partnership of farmer and agribusiness
organizations committed to building international markets for U.S. barley,
corn, grain sorghum and their products. The Council is headquartered
in Washington, D.C., and has 10 international offices that oversee programs
in nearly 80 countries. Support for the Council comes from its member
organizations and the U.S. Department of Agriculture.
National Grain
Sorghum Producers (NGSP) represents U.S. grain sorghum producers nationwide.
Headquartered at Lubbock, Texas, in the heart of a U.S. grain sorghum
belt that stretches from the Rockies to the Mississippi River and from
South Texas to South Dakota, the organization works to increase the
profitability of grain sorghum production through market development,
research, education, and legislative representation.
|