Center for North American Studies CNAS Issue Brief IB2004-01 International Trade Agreements: Implications for U.S. Sugar

The previous decade has witnessed the increasingly important nature of bilateral, regional, and multilateral trade agreements. In order to maintain consistency with trade provisions established by the WTO and those resulting from the Uruguay Round, the United States has negotiated several bilateral and regional trade agreements. These agreements will provide the United States not only with additional access to foreign markets, but will also help foster positive relationships with trading partners. The elimination of barriers to trade in relation to agricultural commodities and processed goods has been an increasingly controversial subject. The sugar industry, in particular, has been vocal regarding its ability to protect its producers from increased competition and preserve domestic price levels. Regional trade agreements, including the North American Free Trade Agreement (NAFTA), the Central American – Dominican Republic Free Trade Agreement (CAFTA-DR), and a Free Trade Area of the Americas (FTAA), will likely impact the U.S. sugar industry. In addition, they will have implications in terms of current and future bilateral trade agreements including the South African Customs Union (SACU) and Thailand. Also important are th