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Press Release DTC Praises Kohl-Feingold Letter Questioning Latest U.S. Trade Proposal
WASHINGTON, D.C. -- The Dairy Trade Coalition (DTC) today commended U.S. Senators Herb Kohl and Russ Feingold (both D-WI) for their November 9 letter raising serious questions about the dairy provisions of latest U.S. agricultural negotiation proposal at the World Trade Organization (WTO). "We are aware that the United States' latest submission to the Special Session of the WTO's Committee on Agriculture in late September included market access provisions that would substantially increase TRQ [Tariff Rate Quota] quantities and substantially reduce out-of-quota duties," Kohl and Feingold told Agriculture Secretary Dan Glickman and U.S. Trade Representative Charlene Barshefsky in their letter. "It seems to us that these proposals would have the likely result of allowing a substantial increase in dairy imports into the United States in such a volume as to have a deleterious effect on domestic milk prices. These increased imports would come at a critical time when our dairy farmer constituents are experiencing the lowest raw milk prices in two decades, with no relief in sight," the two Senators said. Mario Castillo, executive director of the DTC said, "The most difficult problem with our government's proposal is that USDA continues to strive for a substantial increase in market access coupled with a substantial reduction of out-of-quota duties. It makes no sense for our government to further destabilize our markets with ah huge increase in dairy imports at a time when thousands of producers face economic ruin from low milk prices. Rather than move forward with its flawed, one-size-fits-all approach, USDA should recognize the unique needs of dairy and come back with a proposal that makes sense for family farmers." "Dairy farmers are growing increasingly skeptical that free trade agreements will be beneficial to them," Kohl and Feingold said. "We would appreciate your explanation as to how increased import access coupled with lower tariff rates will benefit the many thousands of dairy producers who are entitled to receive fair prices for their product." "Clearly these titans of the Senate understand the needs of America's dairy farm families far better than do the well-meaning but misguided Administration officials responsible for the U.S. proposal. Senators Kohl and Feingold, along with other members of the Wisconsin delegation, deserve much praise for working with their colleagues from the Northeast and other regions to make sure that all American Dairy producers get a fair shake at the WTO negotiating table," Castillo concluded. ###
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