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May 7, 2008
Carlos Gutierrez
Thank you for joining me today to discuss the Free Trade Agreement with Colombia. This week marks the one-year anniversary of the May 10, 2007 agreement forged between the Bush Administration and Democratic Congressional leaders. On that day a commitment was made to advance all four FTAs then pending before Congress, including Colombia, to a vote. While we were pleased that the Peru FTA was passed overwhelmingly in a bipartisan manner last year, the agreement with Colombia, which is very similar to the Peru agreement, remains mired in Congress. The FTA with Colombia is good for Americas economy, security and foreign policy, and will do more to strengthen Colombias democracy and stability than anything else we can do today. Failure of Congress to act is a disappointment not only to governments here and in Colombia, but to the more than 9,000 American exporters to Colombia and the thousands of workers whose jobs rely on those exports. It will immediately eliminate tariffs on American exports; add good paying jobs in both countries; and make our nations better partners and closer allies. We have already waited too long. Now is the time to act, to turn our good words into good deeds because it will make a positive difference in the lives of so many. I will be happy to take your questions. Cliff, from Brimfield, Ohio
writes: Carlos Gutierrez Kim, from Kentucky writes: Carlos Gutierrez What we do know is that in a time of slower domestic growth exports are an increasingly important bright spot in our economy. The best way to improve the environment for exporters is to lower trade barriers, and that can be done effectively with free trade agreements. Since the FTA with Colombia was sent to Congress, $1 billion dollars in tariffs have been paid on American exports to Colombia, all of which would have been eliminated by the FTA. We cannot afford to wait, and neither can Colombia. As far as Colombias reaction, it seems to be one of frustration. Just over a year ago the Administration and Congress agreed on a way forward on all the free trade agreements that were pending. All the countries, including Colombia, made tough decisions to implement changes with the expectation that their agreement would be considered by Congress.
If Congress does not act in accordance with expectations, it will be inconsistent with precedent, undermine Americas global leadership, and potentially disappoint our allies. Jeff, from Los Angeles, Calif. writes: Carlos Gutierrez Some have objected to the agreement on the ground that not enough has been done to protect unionists and the environment in Colombia. The fact is that violence against all Colombians is a great concern of the United States and those who want to see a stable and prosperous Colombia. We have made a significant contribution towards Colombias efforts to reduce violence, grow their economy and make strides in healthcare and education through Plan Colombia, and this program is working. For example, violence has been dramatically lowered throughout the country, and the murder of labor leaders dropped by nearly 83 percent since President Uribe took office in 2002in fact, the murder rate for union members is now lower than the rate for the population as a whole.
The FTA is the best way to secure greater rights for workers, improve environmental standards and enhance stability in Colombiabut it wont if the agreement is not implemented, and it wont be implemented if Congress fails to approve it. So while Congress waits, Colombians continue to fight terrorism and drug traffickers, American exporters remain hobbled, and the environmental and labor provisions in the FTA remain unimplemented, helping nothing and no one. Jim, from Wheaton, Maryland
writes: Carlos Gutierrez
The world is watching for signals to see if the United States is in the global economy, or is actually backing away from its leadership position. So while Congress does nothing, our exports are slapped with tariffs, the agreement remains unimplemented and the vacuum left by inaction is filled by destabilizing forces in the region. One thing is certain though: other countries wont wait for us to act. They will continue to pursue free trade agreements with Colombia. If Colombians dont buy our wheat, theyll by it from Canada; if they cant buy our tractors, Japanese firms will sell them theirs, and if they dont purchase our electronics theyll get them from China. John, from Texas writes: Maybe tariffs could be relieved industry by industry as each industry proves it lives up to international standards for workers. We would still be supporting our Columbian allies while helping its citizens to improve their economic life. It shouldn't just be a straight yes or no proposition. Carlos Gutierrez The government of Colombia has already made tremendous strides in not only protecting labor leaders but prosecuting those responsible for past violence. Every day that Congress stalls at the behest of narrow special interests, more damage is done and it becomes less likely the benefits of this agreement will be fully realized. This is more than a missed opportunity for growthit is a step backwards that pleases only those who want to return to the unsuccessful protectionist policies of the past. While this would hurt the U.S. economy at a time when we need the boost that FTAs bring, for Colombia, not having this agreement would be a devastating blow to an emerging democracy and an American ally at a time when they are most vulnerable. Indeed, with countries like Peru, Chile and Central America having FTAs, denying Colombia an FTA now would put them at a disadvantage, leading by some estimates to the loss of nearly 400,000 jobs there. The FTAs now pending before Congress have very strong environmental provisions as well, far stronger than any previous FTAs. When the Colombian government took the unprecedented steps of opening up these agreements and adding environmental and labor provisions they were promised a vote not just by the Administration but by the Congressional leaders a year ago. Many of those same leaders are now changing the rules of the game by denying a date for consideration of the Colombia FTA. We will continue to point out these facts and push for the right policies for our country and for what was promised to our friends and allies.
Carlos Gutierrez |