October 10, 2011

Illinois Farm Bureau

Governmental Affairs and Commodities

ACTION MESSAGE

Vote "yes" on the passage of the three Free Trade Agreements (FTAs)!

·         Illinois ranks consistently in the top 5 states for ag exports. 

·         The crops we grow and our state’s transportation advantages always allow us to benefit from expanded trade.

·         If we don’t act, we will keep losing the Colombian grain market to our competitors.

·         We need jobs.  Every $1 billion dollars' worth of ag exports supports or creates 9,000 jobs throughout our economy.

CONTACT INFORMATION

·         Senator Durbin at 202-224-2152

·         Senator Kirk at 202-224-2854

·         U.S. Congressman (locate the direct telephone number on LAC or call the switchboard at 202-224-3121)

Or you may call the switchboard in Washington at 877-I-ACT-4-AG (877-422-8424) and ask for your elected officials.

REPORTING CONTACTS

Report Deadline: October 14, 2011

Report contacts through one of the following:

·         Call 800-879-1976

·         Email fbact@ilfb.org

·         Visit www.ilfb.org/reportcontacts

·         Contact county Farm Bureau (and the CFB can report contacts to mkobbeman@ilfb.org or 309-557-3984)

·         Visit with Legislative Action Center (http://capwiz.com/ilfb/state/main/?state=IL)

TALKING POINTS (to be used as a guide for your own words)

(PROPOSED SCRIPT FOR CALL)

·         Hello.  My name is ….

·         I reside in (town), Illinois.

·         My zip code is (xxxxx).

·         I am calling to ask [Senator Durbin/Senator Kirk/Congressman xxxxxx] to vote yes on the three Free Trade Agreements with Panama, Colombia, and Korea.

·         It is critical that these agreements pass now.

·         Thank you for your time.

BACKGROUND INFORMATION

·         It’s about jobs and the economy.

o        Every $1 billion in agricultural exports supports 9,000 U.S. jobs, including transportation workers, food processors, packers, longshoremen, sales and marketing representatives, etc.

o        By passing all three FTAs, nearly 22,500 new U.S. jobs could be created.

·         The U.S. competitive advantage is in jeopardy.

o        Korea is the fifth largest trade market in the world. Currently, competitors, such as Australia, Chile, Canada and the EU, are moving in and taking potential U.S. market share.

o        In Korea, Chile’s market share for wine has increased from 2.4 percent to 21.5 percent, while the U.S. market share has decreased from 17.1 percent to 10.8 percent because U.S. wine imports face a 15 percent tariff. The Chile-Korea FTA eliminated Chile’s 15 percent tariff.

o        Colombia is the top export market in South America.

o        From 2008-2009, U.S. exports to Colombia have dropped almost 50 percent from $1.6 billion to $907 million and the trend is continuing.

o        U.S. market share in Colombia peaked in 2008 at 46 percent. In 2010 it had dropped to 24 percent.

o        The U.S. has a large share, 47 percent in 2010, of the Panama market. But, without an FTA, U.S. competitors are moving in.

o        Panama has already completed an agreement with Canada, a U.S. trade competitor in exports of beef, potato products and processed foods.

·         Gains are only realized by passing these agreements.

o        Combined, all three FTAs represent almost $2.5 billion in new agriculture exports.

o        The Korea agreement would bring a $1.9 billion gain for U.S. agriculture exports and would eliminate two-thirds of tariffs immediately.

o        The Colombia agreement would bring a $370 million gain in agriculture exports and would eliminate 80 percent of tariffs immediately.

o        The Panama agreement would bring a $46 million gain in agriculture exports and would eliminate 50 percent of tariffs immediately.