Max Baucus: “I rise today to address the ongoing negotiations for a United States-Central America Free Trade Agreement-- also known…”

“I rise today to address the ongoing negotiations for a United States-Central America Free Trade Agreement-- also known as the ``CAFTA.'' These negotiations present a couple of unique challenges. First, most of the CAFTA countries are less developed, both economically and politically, than Mexico, Chile, or any of our other FTA partners. This presents challenges to the abilities of the Central American countries--both to negotiate a comprehensive set of commitments and to implement them effectively. Second, these negotiations are on an accelerated schedule. They started in January 2003 and are set to conclude by the end of this year. The limited trade negotiating capacities of the CAFTA countries makes this an ambitious goal. Third, several of the CAFTA countries played a less than constructive role at the WTO Cancun Ministerial. Their participation in the G-21 and the role of that group in precipitating the meeting's collapse raises serious questions about their commitment to trade liberalization. I support comprehensive free trade agreements that create sound market access rules and meaningful commercial opportunities for American farmers, workers, and businesses. And I support, in principle, the goal of reaching such an agreement with the five CAFTA countries. But we need to be realistic. A CAFTA agreement will be politically difficult here--much more so than the recently passed free trade agreements with Singapore and Chile.”