Congressman Costa Votes to Protect Agricultrual Interests

For Immediate Release: July 27, 2005

CONGRESSMAN COSTA VOTES TO PROTECT AGRICULTURAL INTERESTS

Washington, DC - Today, Congressman Jim Costa released the following statement
regarding his vote on H.R. 3045, "Dominican Republic-Central America-United States Free
Trade Agreement Implementation Act" (CAFTA):

"I fully support global commerce. As a third-generation family farmer, I truly understand the
benefit of opening the world to the abundance of U.S. products.

"Of the producers in the Central Valley, some will win and some will lose with CAFTA. In
Washington, I vote on behalf of the Central Valley's best interest to ensure a free and fair
trade policy. Unfortunately, regardless of the diligent work and excellent intentions of our
trade negotiators, the trade agreements we have entered into are not serving America well,
especially not American agriculture. The increasing trade deficit over the last ten years
serves as proof.

"The evidence of our trade failures is undeniable. Over the last dozen years, the U.S. trade
deficit has grown exponentially from a deficit of $38 billion in 1992 to $668 billion last year.
This is an incredible increase of more than $630 billion in twelve years, or more than 1700
percent! This year, in spite of the Trade Promotion Authority enjoyed by the President and
the plethora of agreements brought before Congress, America's trade deficit is the largest it
has been in nearly fifty years.

"Last year, many of the ships traveling from Asia to the West Coast ports traveled back
across the Pacific empty. This is a tragic illustration of a trade policy that is not working. Our
current agreements give us little or no ability to leverage our strengths as a trading partner.

"Do we truly need another agreement when Japan, one of our most important trading
partners, continues to refuse entry of American beef, which is one of our safest and highest
quality food products?

"For the sake of the American agricultural economy, and other American industries, we must
do better. We must seriously evaluate the way in which we conduct trade, beginning with
the agreements we negotiate. We must look at what is working and, more importantly, what
is not working.

"Ten years ago, I supported NAFTA. But, with the current state of our trade situation and
the weakness and of our current agreements, I cannot find any sense in supporting another
trade agreement that perpetuates this sort of ineffective policy.

"I am reminded of a familiar quote attributed to Albert Einstein that illustrates my hesitation
about CAFTA. "Insanity is doing the same thing over and over and expecting different
results." In light of our trade deficits, how can we approve another agreement and expect
different, better results for the American farmer?

"In conclusion, my vote today against CAFTA is a vote of protest and a vote of
dissatisfaction. My "no" vote today is a message on behalf of American agriculture,
American businesses and American workers to the Administration and my colleagues in
Congress, that we absolutely must develop a new trade strategy, a strategy that over time
reverses our trade deficit.

"This new trade strategy must be straight with the American public. It must define who over
the next 10, or 20, or 30 years will be the winners and losers. In order, for America to
remain economically strong in the 21st Century, we must have a plan to address the
transitions and shifts in our domestic economy.

"As participants in the 21st Century economy, which Thomas Friedman refers to as "the new
flat earth," American workers and business owners deserve to know what their chances are
in the global economy. They need to know who among them will be the winners and losers.

"And, throughout that deliberation, American agriculture must have a seat at the table,"
concluded Costa.

http://www.house.gov/costa/Resources/News/Releases/District/2005.07.27.pdf