POLICY DISPUTES INFORMATION CONSORTIUMPOLICY DISPUTES INFORMATION CONSORTIUM

Eighth Agricultural and Food Policy Information Workshop

 

 

March 6-9, 2002

Puerto Vallarta, México

 

 

Wednesday, March 6

Keeping the Borders OpenKeeping the Borders Open

Enrique Domínguez

Mexican Pork Council

1986 Mexico joined GATT

1987 at December inflation 159%

1988 Unilateral trade opening:

a) suppress of import licenses

b) tariff reduction (or disappear)

1989 Import tariff consolidation at 20% (under GATT

50%) and Reinstallation of import license on

poultry, milk and corn

91-92 NAFTA´s negotiation begin at “stand-by status”

BACKGROUND... NAFTABACKGROUND... NAFTA

86-93 GATT: Uruguay Round´s

1992 EU Integration

Agriculture an issue (finally)

1994 WTO arise on new Agriculture Trade

Agreement

INTERNATIONAL SCENARIOINTERNATIONAL SCENARIO

BACKGROUNDBACKGROUND...(asymmetries)

Mexican Farmers rejection:

• Animal and Plant Health Status: ONE WAY BUSINESS

• Regionalization (yes but...)

• Quality Standards: ONE WAY BUSINESS

• it’s a Mexican domestic matter:

• Enforce country of origin standards (at first)

• Legal frame under OIE and Codex Alimentarius base

•NAFTA members have a different regulatory framework that reflects the priorities of each Country and the asymmetry between one regulation and other.

•There is no similarity or fairness as far as agricultural policy is concerned. For a long time, this asymmetry has increased the gap and this led the trade to request action to be taken to compensate this disparity.

•Other, in Mexico is reflected in the little or total lack of food safety, quality and labeling standards and a lack of enforcement.

Comercio México-Estados Unidos (principales productos por valor comercial)

02,0004,0006,0008,000

10,00012,00014,00016,00018,000

Mile

s de

tone

lada

s

Exportaciones

Importaciones

Fuente. Elaborado con datos del National Trade Data Bank

Importaciones

1990-1994 19.491995-2000 117.72

Exportaciones

1990-1994 9.221995-2000 12.20

Crecimiento %

22,727 24,23743,885

82,982

107,526

166,176 171,947

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

Tone

lada

s

1995 1996 1997 1998 1999 2000 2001

Importaciones totales de carne de cerdo proveniente de los Estados Unidos de América

Fuente: Elaborado con datos de SHCP

Incluye las fracciones 02031101, 02031201, 02031999, 02032101, 02032201, 0203299.

656.57%

0

100

200

300

400

500

600

700

800

Mile

s de

ope

raci

ones

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000

Operaciones comerciales México-Estados Unidos(principales productos por valor comercial)

Exportaciones

Importaciones

Fuente. Elaborado con datos del National Trade Data Bank

Fuente: INEGI

P/preliminar

0

20

40

60

80

100

120

140

160

180

Tasas de Interes Estados UnidosTasa de Rendimiento CETES (28 Dias)

US and MEX interest rate 1985-2002

INSPECTION AND VERIFICATION

On Same basis (mirror policies: homologation or equivalent standards)

Previous inspection (origin shipment)

Arbitration Mechanism (Perishables an example)

Specific Crossing Border by Product (and by season?)

TRADE TENSIONTRADE TENSION

Equivalence regulation (homologation?)

Common custom inspection at border and or

pre-inspection on origin

Verification for compliment standards

CLOSE RESPONDCLOSE RESPOND

Agriculture Policies Difference

Market Structural Pricing

Market Access

Working togheter on new regulations on

NAFTA and before UE new restrictions

OTHER ISSUES ON FRONTOTHER ISSUES ON FRONT

Muchas Gracias

It is a need of more constructive comunication.

I am proud to be sharing with you, the challenge of this group to support our leader´s effort to bring successful Nafta agriculture goals.