Cotton Backing CBI Initiative

March 27, 2000

The National Cotton Council has told Senate Majority Leader Trent Lott (R-MS) the cotton industry supports Caribbean Basin Initiative-Sub-Saharan Africa trade legislation that should lead to an additional consumption of 1 million bales of U.S. cotton within three years.

Industry leaders have urged Lott to work for inclusion of provisions no more liberal than the Senate version of the legislation. NCC favors legislation that would provide preferential access to the U.S. market for apparel products assembled in Caribbean using U.S.-made fabric formed with U.S. yarn and articles assembled in the region with fabric knitted there using U.S. yarn.

NCC also has urged congressional negotiators to retain the Senate version that requires U.S. fabric and yarn to quality for preferential access along with enforceable provisions to discourage transshipment as part of any African provisions.

Lott assured them he would continue trying to reach an agreement that would benefit cotton farmers and the textile industry, said NCC, while providing opportunities for economic expansion in the CBI region and Africa. He cautioned, however, that the Senate has other pressing business, and there is a limited window of opportunity before he would have to move to other legislative business.

Cotton Council International, in conjunction with Cotton Incorporated and the U.S. cotton textile industry, are in Costa Rica this week for COTTON USDA Caribbean Basic Initiative Program. Some 50 high-level textile buyers from Costa Rica, the Dominican Republic, El Salvador and Honduras will meet with representatives from U.S. mills to discuss business opportunities as part of the COTTON USA "sourcing fair" in San Jose, CA.

"The Caribbean Basin region is poised for growth and holds tremendous potential as a recipient of even more exports of U.S. manufactured cotton products," said Larry Nelson, president of CCI, the NCC’s export promotion arm.