Boustany Praises Rice Provisions in U.S.-Columbia Trade Promotion Agreement

Press Release

U.S. Representative Charles W. Boustany, Jr., MD, R-Southwest Louisiana, today announced his support for the U.S.-Columbia Trade Promotion Agreement because of provisions to spur rice and other Louisiana imports to that country.

"Southwest Louisiana rice producers need new, open markets around the world to continue to grow," Boustany said. "This Columbia Free Trade Agreement establishes duty-free quotas and phases out tariffs to make Louisiana rice competitive. In addition to rice, many other Louisiana businesses will be able to compete in Columbia. By opening this and other markets, our small businesses and companies can grow and prosper."

Boustany has pressed to open international markets for Louisiana producers since joining Congress. In 2007, he worked with President Bush, the State Department and Iraqi officials to increase rice exports to Iraq. Because of its strategic advantage with geography and transportation, Southwest Louisiana is uniquely positioned to sell products to consumers in Latin and South America as well as Europe and the Middle East.

Louisiana is the third-largest U.S. rice exporter, with $136 million in total rice exports. Yet, as a result of tariff rates that approach 189%, U.S rice exports to Colombia are negligible. The U.S.-Columbia Trade Promotion Agreement will establish duty-free quotas for U.S rice exports and phase out over-quota tariffs over 19 years. When fully implemented, the agreement could raise U.S. rice exports to Colombia to $200 million, a large share of which would certainly accrue to Louisiana's rice farmers.

In 2006, Louisiana exports to Columbia totaled more than $630 million, making Columbia the ninth largest importer of Louisiana goods.

Source