Lacey blog

U.S. farmers, businesses press to pass trade deals

WASHINGTON (Reuters) – U.S. farm and business groups on Monday said they were stepping up efforts to win congressional approval of long-delayed free trade pacts with Colombia and Panama in the next five to six months.

Bill Lane, Washington director of governmental relations for Caterpillar, told reporters he was increasingly optimistic Congress would approve the two deals, and a third pact with South Korea that President Barack Obama already plans to send to Congress.

"It think all three will be done before the summer recess, will be enacted," Lane said at a briefing on a trip a U.S. business delegation is making to Panama and Colombia this week to highlight business opportunities of the pacts.

The delegation also includes representatives from Citibank, General Electric, IBM, Wal-Mart and the National Pork Producers Council.

U.S. Trade Representative Ron Kirk told Congress last week that President Barack Obama had directed him to intensify talks to resolve problems with the Colombia and Panama pacts, which were signed in November 2006 and June 2007, respectively.

In the case of Colombia, that requires addressing strong Democratic party concerns about killings of Colombian labor leaders and the failure of the Colombian government to prosecute many of those responsible for the crimes.

A USTR team is traveling to Colombia this week to gather the latest information on that situation.

Colombia says its overall murder rate fell 45 percent between 2002 and 2009 as the government regained control of territory previously controlled by illegally armed groups and criminal organizations.

Killings of union members also fell from 196 in 2002 to 28 in 2009, the Colombian government says.

Meanwhile, a coalition of U.S. farm and food organizations on Monday wrote Obama to urged him to finalize the Colombia and Panama agreements.

"Four years of trade benefits for U.S. farmers, ranchers and food processors have now been forfeited by our inaction on these agreements, and competitor countries have taken advantage of this lapse to grab U.S. market shares," the coalition said. "It is time to bring this situation to an end."

U.S. Trade Representative Ron Kirk met last week with Panama Vice President Juan Carlos Varela to discuss that pending bilateral agreement.

The United States wants Panama to make additional labor reforms and implement a tax information exchange agreement the two countries signed last year.

(Reporting by Doug Palmer; Editing by Eric Walsh)