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The REAL reason for CAFTA

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Mike

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The World Bank and the DR - Central America Free Trade Agreement (DR-CAFTA)

The World Bank has been helping Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras and Nicaragua, at their request, in the design of strategies to ensure that this accord can effectively promote inclusive development.

The Bank's strategy includes a total of $1.14 billion in already-approved loans to bolster investments and reforms in support of DR-CAFTA's complementary agenda. Loans include financing for infrastructure development (roads, ports and electricity), improvements in the investment climate s (customs modernization, reductions in costs of doing business), investments in rural development and in strengthening governance and institutions.

In addition, resources to expand access and improve the quality of education are essential components of the Bank's strategies in most countries. New loans are scheduled for approval later in 2005 for inclusive growth and support for small and medium enterprises in El Salvador; for infrastructure in the Dominican Republic; for inclusive growth, rural development and land administration in Guatemala; for rural infrastructure and governance in Honduras; and for roads and rural development in Nicaragua.

Bank assistance also includes grants to aid small and medium enterprises in accessing trade opportunities associated with DR-CAFTA. The World Bank's support strategies have been shared with DR-CAFTA's Trade Capacity Building Committee, which is serving a valuable role in coordinating aid and technical assistance needs for implementation of the agreement.

The Bank has also responded to requests from the countries for analytical and advisory support to address the policy challenges of implementing DR-CAFTA. Recently released country-specific reports have focused on overall growth challenges, the potential benefits of DR-CAFTA, as well as labor, agricultural and competitiveness issues. A new regional report, Challenges and Opportunities of DR-CAFTA for Central America, also addresses the potential impact of the agreement and presents recommendations for the complementary agenda. See also the country specific studies.
 

agman

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Mike said:
The World Bank and the DR - Central America Free Trade Agreement (DR-CAFTA)

The World Bank has been helping Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras and Nicaragua, at their request, in the design of strategies to ensure that this accord can effectively promote inclusive development.

The Bank's strategy includes a total of $1.14 billion in already-approved loans to bolster investments and reforms in support of DR-CAFTA's complementary agenda. Loans include financing for infrastructure development (roads, ports and electricity), improvements in the investment climate s (customs modernization, reductions in costs of doing business), investments in rural development and in strengthening governance and institutions.

In addition, resources to expand access and improve the quality of education are essential components of the Bank's strategies in most countries. New loans are scheduled for approval later in 2005 for inclusive growth and support for small and medium enterprises in El Salvador; for infrastructure in the Dominican Republic; for inclusive growth, rural development and land administration in Guatemala; for rural infrastructure and governance in Honduras; and for roads and rural development in Nicaragua.

Bank assistance also includes grants to aid small and medium enterprises in accessing trade opportunities associated with DR-CAFTA. The World Bank's support strategies have been shared with DR-CAFTA's Trade Capacity Building Committee, which is serving a valuable role in coordinating aid and technical assistance needs for implementation of the agreement.

The Bank has also responded to requests from the countries for analytical and advisory support to address the policy challenges of implementing DR-CAFTA. Recently released country-specific reports have focused on overall growth challenges, the potential benefits of DR-CAFTA, as well as labor, agricultural and competitiveness issues. A new regional report, Challenges and Opportunities of DR-CAFTA for Central America, also addresses the potential impact of the agreement and presents recommendations for the complementary agenda. See also the country specific studies.

And...when their economies prosper and standard of living improves do we not also benefit? They want what we have, a higher standard of living. You will have to dispel alot of historical and emperical evidence if you say NO.
 

Mike

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The crystal ball tells that the future prosperity will allow these countries to spend more money with us. Will take some time though. The World Bank is right there to help these people. Bankers???????????

I've been reading the text of Cafta a little at the time, but would take a month for me to read it entirely and comprehend it.

The only beef tarriffs that will be eliminated immediately are the "Prime" cuts of beef. As for the rest of the cuts, 15 years!
 

Sandhusker

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Mike said:
The crystal ball tells that the future prosperity will allow these countries to spend more money with us. Will take some time though. The World Bank is right there to help these people. Bankers???????????

I've been reading the text of Cafta a little at the time, but would take a month for me to read it entirely and comprehend it.

The only beef tarriffs that will be eliminated immediately are the "Prime" cuts of beef. As for the rest of the cuts, 15 years!

15 years for Agman's $4 rectums? He didn't mention that....
 

Mike

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Sandhusker said:
Mike said:
The crystal ball tells that the future prosperity will allow these countries to spend more money with us. Will take some time though. The World Bank is right there to help these people. Bankers???????????

I've been reading the text of Cafta a little at the time, but would take a month for me to read it entirely and comprehend it.

The only beef tarriffs that will be eliminated immediately are the "Prime" cuts of beef. As for the rest of the cuts, 15 years!

15 years for Agman's $4 rectums? He didn't mention that....

Wonder how you cook a rectum? Maybe "Stuff" it and bake it?
Or slice it up and fry it like onion rings? or calamari? Might look like a doughnut when cooked.
But they ought to be cheap because they don't weigh much...........
mostly "Hole"! :roll:
 

Sandhusker

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Strange how they can afford a $4 rectum (price paid to wholesaler) but not $2 hamburger.
 

Mike

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Sandhusker said:
Strange how they can afford a $4 rectum (price paid to wholesaler) but not $2 hamburger.

You have to figure supply and demand. Every steer has two ribeyes, two loins, two eye of rounds, two tenderloins, but only one rectum. :wink:
 

HAY MAKER

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Mike said:
Sandhusker said:
Strange how they can afford a $4 rectum (price paid to wholesaler) but not $2 hamburger.

You have to figure supply and demand. Every steer has two ribeyes, two loins, two eye of rounds, two tenderloins, but only one rectum. :wink:

You guys are too funny ,how many rectums do you think ~SH~ has? at least 6 be my guess :wink: ..................good luck
 

Mike

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It has been said many times on this forum that these countries have never filled their "quota" on shipping meat to the U.S.


According to USDA-FAS statistics........2003

Costa Rica,Guatemala, Honduras, Nicaragua, and Dominican Republic
shipped 27.19 Tousand Metric Tons of beef - valued at $62 MILLION to the U.S.

U.S. shipped 4.71 Thousand Metric Tons of beef - valued at 12.36 MILLION to these countries.

Seems like an imbalance to me whether these countries filled their quotas or not. We should have been the ones collecting the tarriffs.



:???:
 
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Mike: "Seems like an imbalance to me whether these countries filled their quotas or not. We should have been the ones collecting the tarriffs."


Mike,

Assuming your figures are correct, don't you suppose the 40% tarriffs we were paying to export beef to these countries might help explain the DISPARITY JUST A LITTLE???

Not a lot of incentive to export beef to a country that charges a 40% tarriff is there?

THINK!!!!!!!!


~SH~
 

Econ101

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~SH~ said:
Mike: "Seems like an imbalance to me whether these countries filled their quotas or not. We should have been the ones collecting the tarriffs."


Mike,

Assuming your figures are correct, don't you suppose the 40% tarriffs we were paying to export beef to these countries might help explain the DISPARITY JUST A LITTLE???

Not a lot of incentive to export beef to a country that charges a 40% tarriff is there?

THINK!!!!!!!!


~SH~

Then where are they currently getting their steaks for the tourism industry that MRJ asked about, SH? Does Cargill ship them up from Brazil?
 
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Conman: "Then where are they currently getting their steaks for the tourism industry that MRJ asked about, SH? Does Cargill ship them up from Brazil?"

I don't know how much beef they are importing from other countries now or from what countries.

What I do know is that a 40% tarriff on U.S. beef is a hell of a disincentive for the U.S. to export beef to these countries and that's what CAFTA addressed.


~SH~
 

Econ101

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~SH~ said:
Conman: "Then where are they currently getting their steaks for the tourism industry that MRJ asked about, SH? Does Cargill ship them up from Brazil?"

I don't know how much beef they are importing from other countries now or from what countries.

What I do know is that a 40% tarriff on U.S. beef is a hell of a disincentive for the U.S. to export beef to these countries and that's what CAFTA addressed.


~SH~

If that number has as much reliability as the AMS data, the GIPSA investigations, or the President's intelligence assumptions, I wouldn't give it much credence.

CAFTA was meant for american business that pays political contributions, not anything else. That includes imports like beef or imports of textiles made under labor standards that are embarrassing or sugar that competes with U.S. sugar growers.
 
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Conman: "If that number has as much reliability as the AMS data, the GIPSA investigations, or the President's intelligence assumptions, I wouldn't give it much credence."

Are you saying the U.S. was not paying a 40% tarriff to these Central American countries or did you just want to make a feeble attempt to discredit this fact with more empty rhetoric?


~SH~
 

Jason

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In developing countries with tourism spots, beef is not available although desired by tourists.

This is a whole new market (though other places have had tourism longer). As prosperity increases so does the amount of travel, those travelers want high quality beef and will tend to pay more on vacation that they normally would at home.

Looks like a smart business move to supply those with money with a product they are willing to pay for.
 

Sandhusker

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Jason said:
In developing countries with tourism spots, beef is not available although desired by tourists.

This is a whole new market (though other places have had tourism longer). As prosperity increases so does the amount of travel, those travelers want high quality beef and will tend to pay more on vacation that they normally would at home.

Looks like a smart business move to supply those with money with a product they are willing to pay for.

And a huge market it is and is going to be. :roll: Certainly worth opening a back door to South America for.

I'd like to know how many tourist hotel rooms there are in all those countries compared to say....Honolulu. Another thing that doesn't make sense - tourists are going to be at a sea-side resort and they're going to order beef? How many people go to Maine and order beef? How many people go to Oklahoma and order lobster?

The whole "supply the tourists with beef" deal is a laugher. It's a drop in the bucket and for that drop we open a door for our competition. We just got sold a tanker load of snake oil.
 

Jason

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The central American countries are really going to hurt the US with their beef :roll:

They send the cheap trim etc. and buy the high priced back.

Why try to be the low cost producer of the least profitable product?

Sandhusker king of the little plastic things on the ends of shoelaces.
 

Econ101

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Jason said:
The central American countries are really going to hurt the US with their beef :roll:

They send the cheap trim etc. and buy the high priced back.

Why try to be the low cost producer of the least profitable product?

Sandhusker king of the little plastic things on the ends of shoelaces.

Jason, you found out from Agman that Tyson ground 48% of their beef. Did that little fact make you feel a little stupid after you argued the point of "higher value" to death? If you don't learn from your mistakes and just keep on with the same thing and then start calling names, you are just another SH.

With your arguments, the U.S. is already the low cost producer of the least profitable product (trim).

I hope you get your operation reversed.
 

Sandhusker

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Jason said:
The central American countries are really going to hurt the US with their beef :roll:

They send the cheap trim etc. and buy the high priced back.

Why try to be the low cost producer of the least profitable product?

Sandhusker king of the little plastic things on the ends of shoelaces.

Jason, those countries have a herd about the same size as yours - and are working hard on genetics. They've got a gun and we're giving them bullets. On top of that, thier back door is open to bring South American product labeled as theirs to the US. We didn't have that worry before.
 
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CAFTA never changed a damn thing regarding South American countries exporting through Central America. If South America wanted to and Central America was willing, South America COULD EXPORT THROUGH CENTRAL AMERICA NOW but they're not. Central America is not even reaching their export quotas now with South America having the ability to export through them.

CAFTA CHANGED NOTHING IN THIS REGARD!

Another worthless argument from the "free trade fear mongerers" blown to pieces by the facts.


~SH~
 

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