Closing the deal with Colombia

By: Luke Sloma

After nearly two years of negotiations, the US and Colombia signed a Trade Promotion Agreement (TPA) on February 27th, 2006. The agreement includes policies on trading between United States and Colombia as well as some political policies. The agreement eliminates tariffs and other trading barriers between the two countries. The US-Colombia Trade Promotion Agreement is a wise move to strengthen US economy and improve political ties with Colombia. Thanks to the TPA, 80% of US exports to Colombia including high-quality beef, cotton, wheat, soybeans, soy meal, key fruits and vegetables, and some processed food will be duty-free. The TPA will eliminate tariffs on other exports by the course of ten years.
The trade agreement goes both ways. US gets access to Colombian poultry markets and Colombia gets access to US sugar markets. The US will also get machinery, information on technology equipment, auto parts and fertilizer.
The TPA has a political advantage to it as well. It supports Colombian reforms on eliminating drug trafficking, which is the greatest source of cocaine in US and also supports democratic institutions. The TPA enforces protection on intellectual property rights on US products in Colombia.
Not everyone agrees with the Trade Promotion Agreement. Colombia poultry farmers are worried that US imports of chicken legs might put them out of business. The US Congress is also afraid that Colombian sugar will pose a threat to the US sugar producers. Those so called problems are no threat to either side. The TPA has limitations on exports from one country to another. This agreement will also help create jobs that can eliminate drug trade.
The TPA is a fresh agreement so probably improvements and changes will be made to it. Neither side in the agreement is forcing exports of commodities to the other side. The governments as well as the citizens of US and Colombia will benefit from the TPA.