The duty elimination provisions of NAFTA became fully implemented Jan. 1, removing the last remaining tariffs on trade between the U.S. and Mexico. The final stage of implementation saw the lifting of Mexican duties on U.S. exports of corn, dry edible beans, nonfat dry milk and high fructose corn syrup as well as U.S. import duties on Mexican sugar, peanuts, frozen concentrated orange juice and certain other agricultural goods.
A Department of Agriculture press release noted that U.S. combined agricultural exports to Canada and Mexico have grown from $10.1 billion in 1994, the year NAFTA became effective, to $28 billion in 2008. Two-way agricultural trade has risen from $10.4 billion to $30.4 billion between the U.S. and Canada and from $5.9 billion to $24 billion between the U.S. and Mexico.
Acting USDA Secretary Chuck Conner said the U.S. will continue to work with Mexico to build on past successes. A USDA press release notes that since 2005 the U.S. has invested nearly $20 million in programs and technical exchanges to assist Mexico in addressing production, distribution and marketing-related challenges in facilitating its transition to free and open trade. The U.S. will also work on other issues, including whether to allow Mexican trucks to haul cargo over U.S. roads. “We look forward to working with our partners in Mexico and Canada to find new and creative ways to promote agricultural trade and strengthen our regional competitiveness,” Conner said.
World Trade/Interactive
