CAFTA-DR: A Trade Partnership that Works

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CAFTA-DR: A Trade Partnership that Works

By Jason Hafemeister, Trade Counsel, U.S. Department of Agriculture

Under Secretary for Trade and Foreign Agricultural Affairs Ted McKinney is leading a USDA trade mission to Central America this week, making it a good time to review where we stand as far as CAFTA-DR, the United States’ free trade agreement with five Central America countries and the Dominican Republic. It’s been just over 10 years since we started cutting agricultural tariffs on both sides, and the deal has delivered exactly as trade agreements are supposed to. Going forward, a deal that has been a solid positive for U.S. agriculture has the potential to get even better as further market openings create more opportunities for U.S. exports.

The promise of trade agreements, by cutting tariffs and integrating economies, is that agricultural producers can operate in larger markets. Competitive producers, like U.S. grain, oilseed, produce, and livestock farmers, and our potent agribusinesses, get access to more customers. Consumers benefit from more choices, including access to counter-seasonal produce and products that are not grown here at home. CAFTA-DR is a classic example of all partner countries benefitting from open and transparent markets.

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