Trade Agreements
September 8, 2011
September 8, 2011
Hello everybody out there in farm country. This radio commentary is brought to you by the Renewable Fuels Association, Wal-Mart Stores, Monsanto, and John Deere. They are all friends, supporters, and allies of a healthy farm economy and prosperous rural America. Thank you.
And now for today’s commentary—
I am so tired of all this talk about jumpstarting the nation’s economy. Members of Congress are talking. President Obama talks all the time. “I’ll double exports in 5 years.” Talk, talk, talk. – that’s all that is going on. President Obama hit the road in the Midwest in August. He said, “The only thing preventing us from passing these free trade agreements with South Korea, Colombia, and Panama is the refusal by some in Congress to put country ahead of party.” That’s not the case now and it wasn’t in August.
President Obama has been sitting on those three agreements since he was elected. Until the White House sends the bills to Capitol Hill, they cannot be voted on. The bipartisan support in Congress is there if the President will send them up.
It is critical that we get the agreements passed as soon as possible. It’s a race and we are losing. Canada and Europe are both moving ahead of us now. Those countries have completed their free trade agreements.
Our trade agreement with Colombia was negotiated 5 years ago but never passed. Our farm exports to that country have been in a steady decline since that time. We have lost nearly $700 million in farm exports alone. In the past 2 years, our share of Colombia’s corn, wheat, and soybean market has dropped by 60%. Canadian sales are booming.
Our farm exports are hit with a 30% tariff in Colombia and 15% in South Korea and Panama. If we pass the trade agreements, we will be entering those countries almost duty free. That’s why Canada and Europe are taking our markets away from us.
So, if the benefits of passing the trade agreements are so obvious, why weren’t they passed yesterday? The answer – unions. Unions have been holding the agreements hostage since they were negotiated 5 years ago. And President Obama has not wanted to anger his union base.
Well, the pressure has reached the boiling point. We need jobs. We need to get this economy going. Trade is only one means of boosting the economy, but it can no longer be ignored. No more talk. Just get it done.
In closing, I would encourage you to access my website which archives my radio commentaries dating back 10 years and will go back 20 years when complete. Check on what I said back then. Go to www.johnblockreports.com.
Until next week, I am John Block in Washington.