While many wonder just what gain Panama will receive from a free trade agreement with the U.S., the farmers in the U.S. are certain they will gain at least $190 million in agricultural exports. One has to wonder what these exports will do to existing Panama production or are all of these imports competing with other countries exports which might reduce agricultural costs to Panamanians. The issue has never been clearly defined IMO and without clarification the FTA could make Panama more food dependent along with the loss of its financial privacy and deterioration of its sovereignty. Here is an excerpt from The American Farm Bureau.
AFBF: Inaction on FTAs is Hurting U.S. Economy
WASHINGTON, D.C., January 25, 2011 – The inability of Congress and the administration to move three stalled free trade agreements is hurting U.S. economic growth, testified American Farm Bureau Federation President Bob Stallman today before the House Ways and Means Committee. Combined, the Korea, Colombia and Panama agreements would add an additional $3 billion to the U.S. economy through agricultural trade.
Once fully implemented, the Korea free trade agreement would trigger $1.8 billion annually in agriculture exports. Gains in exports through the Colombia agreement are estimated at $815 million, while the Panama agreement is estimated to increase U.S. agricultural exports to more than $195 million.
“These trade agreements are not only important to the bottom line of America’s farmers and ranchers but the economic health of our rural communities and the overall U.S. economy,” said Stallman. “There is a long supply chain made up of American workers who get products from the farm gate to foreign consumers. A decline in our exports means a decline in work for those who are a part of that supply chain.”
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