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The Andean region is one of rich cultural and historical significance matched only by the beauty of its landscape and people. We are fortunate to have such a vibrant local community with roots in this region. Because of the strong ties between our nation and the Andean region, trade is a critical extension of our diplomacy. While there is a lot of debate as to what should be done with the free trade agreements of Colombia and Peru, there shouldn't be any doubt that we should extend the benefits of the Andean Trade Preferences Act.
The trade preferences, set to expire on July 1, 2007, have been an integral part of U.S. trade and foreign policy in this region since 1991. The program, which allows the four Andean countries -Colombia, Peru, Ecuador and Bolivia -to export certain goods to the United States without paying tariffs B was created to better business relations, support the democratic process and battle narco-terrorism in the region.
As New York legislator and past Chairman of the House Select Committee on Narcotics, I have seen the devastation that illegal drugs wreaked on inner cities here and abroad. I had also traveled to the region, witnessing how illegal drug production, with the violence and gangs it brings, have devastated local communities and cultures.
While not perfect, the agreement succeeded in stimulating economic growth in non-traditional export sectors such as asparagus and cut flowers. The program also created a staggering number of jobs in each of the four countries, including 120,000 jobs in Colombia during the first ten years. Most importantly, the jobs created offer real, viable economic alternatives to the illicit narcotics trade.
In 2002, Congress built on this success, expanding the benefits to cover new exports. Since then, sectors such as apparel have flourished. Between 2002 and 2005, exports under the ATPDEA program increased almost 20 times for Ecuador, ten-times for Colombia, six-times for Peru and four-times for Bolivia. American businesses have benefited as well. For example, since 2002, U.S. yarn and fabric exports to the Andean nations have increased 62%, totaling $213 million.
With all of this success, you might think the program would serve as a model for other regional trade initiatives. This extension should be common sense, but some in Congress want to hold this program hostage to passage of other free trade agreements (FTAs). There is no doubt that America needs to make sure that our FTAs expand opportunity for American workers while promoting basic labor rights and environmental standards in other countries. However, linking the existing Andean preferences to those FTAs is bad policy that threatens the success we=ve achieved in the region and sends the wrong message to our neighboring countries. The United States has been a partner in Andean development. We should continue to help grow the economy and eliminate any temptation there might be to earn a living on illegal trade, like the narcotics.
This Op-Ed was orginally published in Spanish by El Diario/La Prensa on April 9, 2007.
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