October 1, 2010
Mexican pork producers demand action on US tariffs
Mexican pork groups are trying to pressure the Obama administration into resolving a trade dispute with Mexico that has resulted in 5% tariffs on most US pork sent there.
The National Pork Producers Council and 36 state pork organisations have sent a letter urging President Barack Obama to work with Congress and Mexico to eliminate the duties.
Frustrations among agricultural groups have been mounting since mid-August, when Mexico shifted tariffs on a number of products. The tariffs are in retaliation for the suspension of a pilot program that allowed Mexican trucks to travel US highways.
The expanded list now includes several valuable Western crops, including apples, oranges, pistachios and cheese. Of the 99 items now on the list, 54 are farm-related.
"5% isn't a lot, but certainly it's going to have some negative effect given that our two biggest competitors there - Canada and Chile - have zero tariffs on their products," said Dave Warner, spokesman for the National Pork Producers Council.
The NPPC and other farm groups agree with Mexico's assertion that the US has not lived up to its obligations under the North American Free Trade Agreement, under which the US was supposed to begin allowing Mexican trucks into the country in 1995.
In their letter, the pork groups noted that US agricultural exports to Mexico have increased by 257% since 1993, the year before NAFTA was implemented, and pork exports have grown by 580%.
