Congressional Record—Senate S8095
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July 14, 2004 CONGRESSIONAL RECORD — SENATE S8095 State’s sugar beet industry, an indus- times in recent history where the U.S. As a Senator representing nearly try that is directly or indirectly re- had no sugar policy, consumer prices 16,000 cattlemen and a State that ranks sponsible for $2 billion in economic ac- received the brunt of it when prices sixth in beef production, my support tivity and about 30,000 jobs. The exclu- spiked to record highs. So my deepest for this agreement is couched in part sion of sugar from the Australian thanks and appreciation go out to the on my reliance that these safeguards agreement has been much maligned by Bush administration and its trade for U.S. beef will, in fact, be allowed to folks inside and outside the Chamber, team for doing what is right by Amer- work as intended and that any waiver but not by this Senator. Let me tell ica’s sugar farmers, right by Min- would be undertaken only in the rarest you why. nesota, and right by this Senator. You of circumstances, circumstances that I, The fact is, the reason we are able to have a good model now on sugar, one frankly, can’t conceive of now as I stand here now on the cusp of passing that moves the trade agenda forward. speak. the Australia Free Trade Agreement is We ought to stick with it. Steve Brake, a good friend of mine, is in part or in whole owing to how this Dairy is another important industry president of the cattlemen. Whenever I administration wisely handled sugar. in Minnesota—we are fifth in the Na- get to cattle country, I touch base with Today, the Australia Free Trade Agree- tion—and here again our trade team him to where things are. He under- ment is on the move. The sad reality is deserves thanks for working with me stands. It is extremely important to that CAFTA is up on the blocks. and other interested Senators, as well him and his fellow cattlemen that we CAFTA is another great opportunity. as our Nation’s dairy farm families, in strictly enforce these safeguards. I We need to work to strengthen our arriving at a more workable although know I will hear from Steve if we trade opportunities with our friends in not perfect solution. Maintaining the don’t. If I hear about it from Steve, our Central America. We have seen the second tier tariff for Minnesota dairy trade team is going to hear about it, flourishing of democracy there. Our farmers is an absolutely essential part too. The safeguards are in place. I have Central American friends and allies de- of this agreement. I am pleased that we great respect for what has been done, serve the benefit of expanded trade op- have worked with our trade team on and I think our cattlemen can sleep this issue. I don’t want to get into dis- portunity. CAFTA is up on the blocks. easier tonight. cussions of the complexity of dairy pol- We have to figure a way to move it for- I am pleased that the sanitary and icy on the floor of this body, but this ward and to deal with the sugar prob- phytosanitary issues that stood in the issue of a second-tier tariff was impor- lem in CAFTA. way of our pork producers’ access to When I say ‘‘deal with,’’ this is not tant to my dairy farmers and dairy the Australian market have been favor- about parochialism or protectionism. farmers throughout America. We man- ably resolved, leading to the endorse- It is about common sense and equity. aged to make sure that we maintained ment of the agreement by more than that second-tier tariff. That was a good Common sense says if you have a world 6,000 Minnesota pork producers. I will thing. problem, as the distortion in the sugar repeat that. These issues have been re- Under the agreement, in-quota dairy market most certainly is, you handle solved and have led to the endorsement imports are estimated to equal only of the agreement by my more than the problem in a global context. In 0.17 percent of the annual value of U.S. other words, the right place to deal 6,000 Minnesota pork producers. dairy production, and only about 2 per- I also appreciate the work of our with sugar is in the World Trade Orga- cent of the current value of imports. trade team in pressing the issue of the nization, not in these bilateral and re- Finally, assurances by our trade team Australian Wheat Board, a monopo- gional agreements. Equity requires that imports will not affect the oper- listic state trading enterprise whose that when our trade team rightly de- ation of the milk price support pro- time has passed. While I am dis- cided that discussions concerning the gram are extremely important to me appointed we were unable to do away farm bill’s safety net for other com- and to America’s dairy farmers. with the board under this agreement, I modities, such as corn and soybeans, Today I have 6,000 hard-working am pleased the Australians have agreed should be reserved for the WTO and ex- dairy farm families who milk about to discuss this issue in the Doha Round cluded from bilateral or regional agree- half a million cows every morning and of the WTO. ments, the same should hold true for night, who can breathe a little easier, Overall, I believe this administration sugar: Common sense and equity. thanks to the efforts of our trade team. had a tough job to do and it did it rea- In regard to the farm bill, I would I stress, less than 10 years ago we had sonably well—job well done—some- point out that this legislation is to our about 14,000 Minnesota families. So we thing evidenced by the likely passage farm families in rural America what have lost over half the dairy farmers in of this agreement. The Australia Free the JOBS bill we just overwhelmingly our State. I presume that pattern has Trade Agreement is a good precursor to passed is to our Nation’s manufactur- been shown in other parts of the coun- the WTO discussions that will take ers. To anyone who has gone to see the try. But those 6,000 hard-working dairy place in Geneva yet this month because new World War II Memorial, you will farm families can sleep a little easier it underscores a point: You don’t have notice all the wreaths that represent tonight thanks to the efforts of our to give away the farm to negotiate a the two pillars of industry and agri- trade team. good agreement, and you may not pass culture. Those responsible for both are Again, it is not a slam dunk. This one if you do. critical to this country. We must not agreement is not perfect, but it is more So the Australia Free Trade Agree- unilaterally disarm against either in workable to my dairy farmers and co- ment that President Bush has sent to global competition, which today is not operatives at home because second-tier Congress is about sustaining and grow- always free and not always fair. tariffs were maintained and in-quota ing American jobs. It is about bol- As for my State’s sugar farmers, they imports are expected to be low. stering support in the economic oppor- are among the most competitive in the My cattlemen are about where my tunity of our rural families, our rural world. In fact, America’s sugar farmers dairymen are. They are relieved, but I communities, and the incredible work are among the top one-third in the would say our trade team had to over- they do to produce the safest, most af- world in overall efficiency, as meas- come a very difficult issue. On the fordable food supply in the world. ured by the cost of production. But whole, they worked very hard to ad- So to the President and our trade what they face is a dump market where dress the concerns of Minnesota’s team, I say: Job well done. To our the average world cost of production cattlemen. They phase down U.S. tar- Members and colleagues in this body, I per pound is 16 cents while the average iffs over an 18-year period and phase up say: Let us move forward and pass the selling price per pound is only 6 cents. the amount of in-quota access, all the Australia Free Trade Agreement. As the saying goes, something is rotten while providing safeguards to protect I yield the floor. in Denmark. I don’t want to blame the against import surges that would dis- f Danes on that, just an expression. rupt U.S. markets. And at the end of Meanwhile, the U.S. sugar policy has the 18-year period, another safeguard is RECESS been good to taxpayers and consumers put in place to protect against import Mr. COLEMAN. Mr. President, I ask alike. The U.S. sugar policy costs tax- surges that would otherwise depress unanimous consent that the Senate payers nothing and, in fact, the two U.S. beef prices. now stand in recess until 4 p.m. today. VerDate May 21 2004 02:10 Jul 15, 2004 Jkt 029060 PO 00000 Frm 00041 Fmt 4624 Sfmt 0634 E:\CR\FM\G14JY6.065 S14PT1 S8096 CONGRESSIONAL RECORD — SENATE July 14, 2004 There being no objection, at 3:02 I hope we get to the bottom of what bad policies that over and over again p.m., the Senate recessed until 4:01 is going on with this revision.