Agriculture More Than Pleased at TPA Vote

December 7, 2001

Reaction came swiftly and positively from agriculture circles late Thursday in the wake of a 215-214 vote in the House to approve trade promotion authority. The Agriculture Coalition for Trade Promotion Authority (TPA) called the vote "the key that will open the door to increased exports and a better future for American farmers and ranchers."

The coalition's statement continued, "Members who put aside parochial interests and rejected the empty arguments of protectionism deserve our praise, for they have done a great service to our country. The House sent a clear message that the U.S. will again be fully engaged in trying to break down barriers that prevent our farmers from exporting to many countries of the world."

For the National Cattlemen's Beef Association it was cause for applause. "The TPA legislation passed by the House will enable U.S. negotiators to provide leadership and negotiate for increased access to global beef markets and will expand opportunities for American agriculture, " said Chuck Lambert, NCBA's chief economist.

"U.S. agriculture is the most productive and efficient in the world, but many markets remain out of reach simply because of trade barriers," said Lambert. "U.S. beef faces tariffs of 38.5% and 40% respectively in Japan and Korea, and the (European Union) is the world's largest user of beef export subsidies. The only way to eliminate those barriers and unfair trade practices is through determined negotiation and the only way to accomplish that is by granting the President trade promotion authority."

Bob Stallman, president, American Farm Bureau Federation, said "this historic move" will allow U.S. negotiators "to get the best deal possible in the upcoming round of world trade talks, level the international trade playing field, and benefit America's farmers and ranchers. Each vote in favor of TPA was a vote for our hardworking farmers and ranchers. For too long, we have been forced to take a back seat in global and regional trade talks. The fight for more equitable international trade rules now moves to the Senate."

National Pork Producers Council (NPPC) President Barb Determan said the House "took a giant step toward restoring America's leadership position on trade. We commend those members who put aside parochial concerns and voted for the good of our country. Now, the focus will be on convincing the Senate to do the same."

She added, "The only way our farmers and ranchers will succeed is through free trade. The United States has the most open and transparent market in the world for agricultural imports. Average global tariffs on agricultural imports are 62%, while agricultural import tariffs in the U.S. average only 12%. Pork tariffs around the world are higher than the world average, while U.S. import tariffs on pork average about 3%. And, unlike the European Union and other competitors, the U.S. pork industry is not subsidized. Only through negotiations can we level the playing field and create new opportunities for our producers."

American Soybean Association First Vice President Dwain Ford, a soybean and corn producer from Kinmundy, IL, said "Trade promotion authority is extremely important to U.S. soybean producers from the standpoint that one out of every two rows of soybeans grown in the United States is exported in the form of a whole soybean or a soybean product. Over 95% of the world's population lives outside our borders, and U.S. soybean farmer prosperity is tied to growth in incomes and demand worldwide. Simply put, trade liberalization drives economic growth."

The American Farm Bureau Federation listed 10 reasons why TPA this year was a top priority.

The National Corn Growers Association also expressed support. "Corn growers, and agriculture in general, have much to gain from trade promotion authority," said Lee Klein, a Nebraska corn farmer and chairman of the NCGA. "We cannot continue to watch from the sideline as our competition score one trade agreement after another. We must have trade promotion authority for a strong U.S. leadership role - to enter beneficial agreements like the competition."