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Obama: Free-trade negotiations with the European Union to go forward

2013_0212_sotu President Barack Obama delivers his fourth State of the Union address on Tuesday night. (From White House video)


In what could be the most significant development for agriculture in his State of the Union message, President Barack Obama on Tuesday said that he intends to complete the Trans Pacific Partnership trade agreement and that negotiations for a free-trade agreement between the United States and the European Union would move forward.

“To boost American exports, support American jobs and level the playing field in the growing markets of Asia, we intend to complete negotiations on a Trans-Pacific Partnership,” Obama said.

“And tonight, I’m announcing that we will launch talks on a comprehensive Transatlantic Trade and Investment Partnership with the European Union — because trade that is fair and free across the Atlantic supports millions of good-paying American jobs.”

Obama did not provide any details on the parameters of the negotiations with the European Union. U.S. Trade Representative Ron Kirk said recently that reaching final agreement on the subjects to be negotiated was difficult, especially on agriculture.

U.S. agriculture groups have said any agreement with Europe should deal with sanitary and phyosanitary barriers, particularly on meat exports, and on European resistance to imports of genetically modified seeds and the foods that come from them.

European agriculture groups have said that the negotiations should include the subject of geographical indications, which would restrict the use of terms such as Champagne and Parma ham and the names of some cheeses, but U.S. dairy groups have objected strongly to the inclusion of that subject.

Senate Finance Committee Chairman Max Baucus, D-Mont. and ranking member Orrin Hatch, R-Utah, sent Kirk a letter Tuesday on their views on the negotiations, including comments on agriculture.

“Broad bipartisan Congressional support for expanding trade with the EU depends, in large part, on lowering trade barriers for American agricultural products,” Baucus and Hatch wrote.

“This means increased agricultural market access and firm commitments to base sanitary and phytosanitary measures on sound science,” the letter said.

“The EU has historically imposed sanitary and phytosanitary measures that act as significant barriers to U.S.-EU trade, including the EU’s restrictions on genetically engineered crops, a ban on the use of hormones in cattle, restrictions on pathogen reduction treatments in poultry, pork and beef, unscientific restrictions on the use of safe feed additives such as ractopamine in beef and pork, and other barriers to trade affecting a significant portion of U.S. agricultural exports,” the letter said.

“While we recognize the positive steps the EU has recently taken with respect to imports of beef washed with lactic acid and with respect to swine, there is still much work to be done. We urge you to resolve these and other unwarranted agricultural barriers as part of the FTA negotiations on both an individual and a systemic basis.”

Baucus, Hatch Outline Priorities for Potential U.S.-EU Trade Agreement