AGRICULTURAL & FOOD POLICY CENTER TEXAS A&M UNIVERSITY SYSTEM A Policy Leadership Commission for NAFTA Keep the Borders Open 8 th Agricultural and Food Policy Information Workshop Puerto Vallarta, Mexico March 9, 2002 Ron Knutson Al Loyns Professors Emeriti

If there are to be positive and progressive next steps in the NAFTA process, there must be a Secretariat that is continuously pushing and monitoring progress Workshop Executive Summary

Purpose: Expand on the Secretariat Idea –Background on the need –Review Functions Rubic for NAFTA Secretariat: Policy Leadership Commission (PLC)

Background on Need for PLC Frequent trade disputes administered/litigated under trade remedy laws (TRLs) outside NAFTA Proliferation at domestic subsidies allowed within the NAFTA framework Excluded commodities: sugar, dairy, poultry, wheat, barley

Background on Need for PLC (cont) Lack of analysis of distributional consequences of NAFTA Lack of data and analysis of market structures and competition

Background on Need for PLC (cont) Opportunities for increased harmony and freer trade in areas where conflict should be minimal > Education >Environment >Research>Disaster assistance >Economic information>Credit >Grading>Food assistance >Plant and animal protection >Infrastructure >Food safety

PLC Functions Data and analyses –Clearing-house for information and data –Freer trade oriented analysis

PLC Functions Dispute Settlement –First referral for TRL dispute settlement –Analysis, negotiation, mediation, recommendations –Potential for eliminating TRLs within NAFTA –At least provide safeguards against groundless actions

PLC Functions Planning and evaluation of NAFTA operations, successes and limitations –Policy/program assessments –Performance assessments Authority to pursue needed initiatives within NAFTA to achieve harmonization

PLC Functions Competitive Policy –Assemble and distribute structure/conduct data and information –Coordinate cross-cutting competition/antitrust issues

Summary PLC would be a catalyst for change within NAFTA PLC would be an active contributor to dispute settlement processes PLC would be an open source of data and information