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Ocean cargo: U.S. shippers and port authorities had championed Colombia trade agreement prior to House vote

Patrick Burnson, Executive Editor -- Logistics Management, 4/11/2008

WASHINGTON— Shippers represented by two major lobbying groups joined the American Association of Port Authorities (AAPA) in strong support for the U.S.-Colombia Trade Promotion Agreement. Despite their overwhelming endorsement, however, the House failed to move ahead with passage of the deal yesterday, deferring Congressional vote until next year.

The House voted by a 224-195 margin yesterday to put off consideration of the Colombia Trade Promotion Agreement until House Speaker “decides the time is right,” according to a New York Times report.

 “Congress should approve the U.S.-Colombia Trade Promotion Agreement, which will deliver significant benefits for American workers and farmers,” said U.S. Chamber of Commerce executive vice president for government affairs R. Bruce Josten. “At a time of uncertainty for the U.S. economy, politics must stop at the water's edge.”

 Spokesmen for the National Association of Manufacturers were equally adamant about approving the agreement, noting that It helps U.S. manufacturers to compete more effectively in the fast growing Colombian market.

 “Currently, U.S. manufactured goods entering Colombia face an average tariff of 14 percent,” said spokesmen.  “At the same time, over 92 percent of Colombian goods face no such barriers in the United States.  Approving the Colombia Free Trade Agreement would lower these tariffs to zero in most cases immediately, effectively leveling the playing field for manufacturers.”

 In an interview with LM, spokesmen for AAPA said that like most free trade agreements, this one will contribute to the nation’s gross domestic product.

“International trade has grown from 13 percent to 29 percent over the last 30 years,” said AAPA communications director, Aaron Ellis. “We simply can’t ignore its contribution to the GDP and our nation’s prosperity.”

 AAPA president and CEO, Kurt Nagle, added that with “our uncertain economy,” U.S. exports are more important than ever.

"Over 40 percent of America's economic growth last year was attributable to exports,” he said.

Further support was given by the U.S. International Trade Commission, which said that passage of this agreement would result in approximately a $1.1 billion annual increase in U.S. exports to Colombia due to tariff reductions. 

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