A Policy Leadership
Commission for NAFTA
Keep the Borders Open
8th Agricultural and Food Policy Information Workshop
Puerto Vallarta, Mexico
March 9, 2002
Ron Knutson
Al Loyns
Professors Emeriti
AGRICULTURAL & FOOD POLICY CENTER
TEXAS A&M UNIVERSITY SYSTEM
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.
2002 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
>Research
>Environment
>Disaster assistance
>Economic information
>Credit
>Grading
>Plant and animal
protection
>Food safety
>Food assistance
>Infrastructure
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