[Congressional Record Volume 151, Number 91 (Friday, July 1, 2005)]
[Senate]
[Page S7904]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
CENTRAL AMERICAN FREE TRADE AGREEMENT
Ms. LANDRIEU. Mr. President, I rise to speak a moment about why I am
strongly opposed to the Dominican Republic/Central American Free Trade
Agreement Implementation Bill, or CAFTA it is often referred to. CAFTA
threatens a proud heritage and a way of life in Louisiana that dates
back more than 250 years. Our great-great-great grandfathers were
raising cane long before our country was even born. Since 1751,
Louisiana sugar cane farmers have been farming the fertile soil of our
great State. Before the marble Walls of Congress were ever erected,
Louisianans built an industry that would weather hurricanes, the Great
Depression and even the Civil War.
These farmers have good reason to be proud. American sugar producers
are among the most efficient in the world. Two-thirds of the world's
more than 100 sugar-producing countries produce at a higher cost than
the U.S. And in my State of Louisiana, farmers produce about 20 percent
of the sugar grown in the United States and currently rank fourth in
the Nation in production of sugar, producing an average revenue of $750
million per year.
But today, we are prepared to deal this proud industry a death blow.
We are talking about undoing centuries of tradition and stripping away
jobs from efficient Louisiana farmers. As passed, this trade agreement
would have a serious and harmful effect on sugar producers in my State:
CAFTA will equal job loss and financial despair for 27,000 Louisiana
sugar workers and farmers. Along with additional bilateral trade
agreements, CAFTA could cost my State $750 million in direct sugar
sales, as well as $2 billion in industry-related revenue each year.
In any trade negotiation, there are losses and there are wins.
Oftentimes we are willing to accept the impacts these deals might have
on our domestic producers because in the long run the good outweighs
the bad. But that is not the case. CAFTA is a relatively small trade
deal with a group of countries whose combined economies are smaller
than that of New Haven, CT. Nearly half of all Central Americans earn
less than $2 a day, and they simply cannot afford the meats or crops we
have to sell. That is why the Louisiana Farm Bureau has joined other
State farm bureaus, the National Association of State Departments of
Agriculture, and numerous national farm groups in opposing CAFTA. Even
our own Government's economic estimates say that CAFTA will mean little
to agriculture or to our country as a whole; and these are known to be
quite optimistic estimates. That is because as the administration
points out time and time again--we already dominate the import market
of this poor region.
According to estimates by the U.S. International Trade Commission,
CAFTA would actually increase our trade deficit with Central America
while benefiting our economy by less than one-hundredth of 1 percent.
That is worth repeating again. The administration's economists say that
CAFTA will increase our trade deficit with the region while boosting
our own economy by less than 0.01 percent.
This same study concluded that for other farmers CAFTA would have ``a
negligible impact on total U.S. production and employment.'' Why then
are we talking about dismantling my State's sugar industry? U.S.
farmers and ranchers get little in return for sending thousands to the
ranks of the unemployed.
So what we have here is another raw deal for Louisiana sugar. I urge
my colleagues to take a long, hard look at our country's current
agricultural trade agenda. This year, the USDA says America will import
as much food as we export. The agricultural trade surplus that stood at
$27 billion less than 10 years ago is now gone. The promises made to
farmers during the NAFTA debates have come up flat. And the promises
that will be made today about CAFTA are contradicted by the
administration's own estimates.
In closing, let me say I support free trade, so long as it is fair.
Fair free trade requires that all players operate on as equal and level
a playing field as possible, accountable to the same labor laws,
environmental standards, and governmental intervention. To sacrifice
even one job for a trade deal that will deepen our agricultural trade
deficit is a travesty. And, having to tell thousands of hard-working
farmers in Louisiana that they must look for work, because sugar was
used as a bargaining chip, is unacceptable.
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