| Washington, DC – Today, U.S. Representative William J. Jefferson (D-LA) announced his support for the Central American Free Trade Agreement (CAFTA). Jefferson, joined by local business, trade and city officials, said he expects CAFTA’s economic impact on New Orleans to be tremendous.
“I came to this decision after much careful deliberation,” Jefferson said. “When I peeled back the agreement to uncover the issues at hand, I found both the City of New Orleans and the State of Louisiana, as a whole, stand to benefit greatly from passage of the CAFTA Agreement.”
Jefferson went on to describe the benefits New Orleans and Louisiana stand to gain from this trade agreement including:
· Louisiana is the forth largest state exporter to the DR-CAFTA region, exporting more than $1.1 billion in 2004. The DR-CAFTA market represents Louisiana’s 5th largest export market.
· From 2000 to 2003, Louisiana was one of the top ten states to demonstrate rapid export growth to the DR-CAFTA region.
· The DR-CAFTA region is Louisiana’s 2nd largest export market for processed foods and its 5th largest market for agricultural crops.
· Increased trade generates related business travel, and liberalized trade in services increases holiday travel—a particular benefit to the City, with our world-class hotels, casinos, and the cruise industry operating out of the Port.
· This agreement is critical for the Port of New Orleans, and the hundreds of thousands of workers who depend on exports and imports flowing through it. In 2003, the Port processed more than $30.6 billion worth of exports to over 200 foreign markets.
· The Port of New Orleans has seen traffic to and from our NAFTA partners increase more than 412 percent since NAFTA’s implementation. With CAFTA, we can certainly expect similar increases in trade.
Jefferson also addressed the concerns of Louisiana sugar producers and pledged his support and commitment to working toward the best possible resolution to their concerns. “I know that our sugar farmers are concerned about the precedent that may be set by including sugar in any trade agreement,” Jefferson said. “I would like to make a commitment today on sugar. I will continue to support programs that make sugar more productive and competitive and on the international side, I will continue to press the US Trade Representative to conclude a multilateral sugar agreement at the World Trade Organization. In the House Ways and Means Trade Subcommittee, I will also continue to emphasize that each trade agreement negotiation is unique; no precedent relative to sugar has been set with CAFTA.”
Local officials praised Jefferson’s decision:
“In Louisiana, CAFTA would create between 1,385 and 2,769 new jobs, including 250 to 500 in Louisiana Ports. The Port of New Orleans applauds Congressman Jefferson for standing up for free trade, which will create new economic opportunities in his district and throughout the state,” said President and CEO of the Port of New Orleans Gary LaGrange.
“"Probably no city or state in the country has more to gain from the passage of this agreement than New Orleans and Louisiana because of our proximity to Central America and the close trade and cultural ties that we have developed with those countries over many years,” said Charles W. Nelson, President of the World Trade Center of New Orleans. “The opportunities for increased exports by the producers of Louisiana goods and services and the potential for greater volumes of cargo movements in both directions through our seaports and airports are enormous.”
“Mayor Nagin's ultimate goal is to create jobs. With the potential for up to 2,800 new jobs and millions in new sales, we see CAFTA as a tool to help us build New Orleans' economy,” said Don Hutchinson, Director of Economic Development. "Our port, businesses, universities and hospitals are just some of the entities that would benefit from CAFTA's passage.”
Honduran Ambassador to the United States Mario Canahuati was also on hand to express his country’s gratitude for Jefferson’s support of the trade agreement. “Honduras is forever grateful for the unconditional solidarity of this state and this city in particular,” he said. “This agreement fits into Honduras’ strategy as an essential element for creating the opportunities that will allow economic growth, thus contributing to the stability brought about by hope while improving living standards.”
“This agreement is a “win-win” for the City of New Orleans, Louisiana and for the CAFTA countries,” Jefferson said. “With the passage of this agreement we hope to help those countries create jobs, expand their economies and increase investments in their countries. As a member of the House Ways and Means Committee, I will be working with my colleagues to develop additional provisions that will strengthen the commitments made in this Agreement by the U.S. and by the DR-CAFTA countries.” |
