RWMARKS OF SECRETARY DAN GLICKMAN AMERICAN CHAMBER OF COMMERCE IN ARGENTINA Release No. 0428.97 Remarks OF SECRETARY DAN GLICKMAN AMERICAN CHAMBER OF COMMERCE IN ARGENTINA BUENOS AIRES, ARGENTINA -- DECEMBER 3, 1997 Good morning. Thank you all for inviting me. This is my first trip to Argentina. What a great place. I had a chance yesterday to walk around this beautiful city. In fact, I insisted on that time when they scheduled my trip. I heard so many good things about Buenos Aires, and was glad to see for myself that the rumors are all true. I also had a chance to meet with Secretary Sola. I'm pleased he is here with us this morning. We had a productive meeting yesterday. It confirmed my belief that this is a great agricultural nation. And, I was very pleased to sign a statement of intent to form a consultative committee of high-level government officials that will foster greater cooperation in both our bilateral agricultural trading relationship and pursuing our shared priorities for world food and fiber trade. Our countries produce many of the same crops -- wheat, oilseeds, beef, corn and soybeans. That makes us competitors in one sense. But in a much broader sense, we are allies. We share many important priorities -- in trade and elsewhere, and together we are shaping a new world -- one that must be based on a solid, principled foundation of free and fair trade. Argentina is a proud example of the promise of freer and fairer trade. We have seen a fairly direct correlation between your country's opening up to the world, and its growth -- both economically and democratically. In Argentina's progress is a lesson for the world. That's why President Clinton was proud to come here, stand with President Menem and speak to the people of our countries and the world about our shared priorities -- from the importance of protecting the global environment, to the promise of expanded trade, to world stability. He is proud that U.S. and Argentine soldiers have stood side by side in Haiti ... in Croatia ... a force for peace. He is grateful for Argentina's status as a major non-NATO ally. But President Clinton also understands that in the next century -- if we are to achieve a more peaceful, prosperous world -- how we deal with each other economically will be at least as important as our military relations. That's something Argentina has understood quite well. I want to thank Secretary Sola and other leaders here -- both in business and in government -- who have worked so hard to help ensure that the world keeps pressing forward with free trade. I know that Argentina took the leadership role at the Singapore ministerial last year -- insisting that there be explicit agreement that the 99' World Trade Organization talks for agriculture proceed on schedule. Others wanted delay. But the United States and Argentina won the debate on the merits, arguing that every nation would ultimately benefit from a more open and principled global trade environment. We should be encouraged by the results of the recent APEC ministerial in Vancouver. Now would certainly be a time one might worry that certain countries would succumb to the temptation of protectionism. Instead, Pacific Rim nations reaffirmed their commitment to pressing forward with expanded trade in 9 areas, understanding how critical that progress is to regional economic stability. No country is immune from voices that call for a return to protectionism. As many of you know, President Clinton hoped to come to Argentina with what we call fast track' authority -- the power to negotiate trade agreements that Congress could not later go back and change. While our people overwhelmingly support expanding trade and increasing global opportunities, they will need a little more time to understand the importance of that specific negotiating power. I am disappointed that we do not have it today. But it certainly does not impact any of my talks with Secretary Sola, and I believe President Clinton will get this authority before there is any measurable impact. I'm here in Argentina to say that our work expanding trade and breaking down unfair barriers will continue. We value our relationship with Argentina. We understand that 70% of the increase in all U.S. exports this past year occurred within the Americas. We also know that Canada has negotiated an agreement here. President Clinton is firmly committed to a strong trade relationship here and carrying on our joint work expanding global trade. Like Argentina, the U.S. wants to see trade barriers continue to come down, and principled rules of fair play take their place. Anyone who is a fan of American football or Argentine futbol can understand that if you have rules, then you need a referee. The same is certainly true for trade. Sound science must be that arbiter of our disputes. It is the only way to ensure fairness. Argentina won a victory on that field with the recent U.S. decision to allow imports of your beef. I know that for many years that has been a serious issue here. Sound science enabled us to resolve U.S. concerns and open our market in a responsible manner. It is my hope that sound science will be the key that unlocks a number of our trade snags, including the restriction on imports of certain U.S. fruits and vegetables. I want to make clear that Argentina has an overwhelmingly positive record on this front. I particularly want to praise Secretary Sola for using sound science as the basis for his decisions on biotechnology. The United States, too, has encountered some rather interesting views from across the Atlantic. In our trade talks, we need to be clear: Sound science has repeatedly proven these products safe. Without question, we should continue to be vigilant and rigorously test these products. But as long as they do prove safe, science must prevail over sentiment when it comes to our trade rules. As critical as a victory on that principle is to our nations' farmers, it is even more critical to our world. In the next quarter century, the world's population is expected to add another 2 billion people. How can we feed everyone? We can rip up forests and pursue an unsustainable path, or we can turn to technology that allows us to safely increase yields, using less water and less pesticides ... producing crops with more nutrition and that can survive in harsh weather extremes. Biotechnology holds out our greatest hope of feeding a growing world in a sustainable way. As long as it proves safe, we cannot in good conscience turn our backs on it. Not too long ago, I traveled to the international grain and wheat research center -- CIMMYT -- in Mexico. This is the place that launched the Green Revolution' -- the quantum leap in food production of the 1970s. There, they have an exhibit for Norin 10 -- the dwarfing gene for wheat. On the wall, it reads a single gene has saved 100 million lives.' Think about that for a moment ... How many hospitals would it take to make that same claim? While we must work hard in trade circles to champion the acceptance of biotechnology, I believe we can also do a better job of speaking to the world's consumers -- talking about the safety and the promise of biotechnology. Right now, I think our voices are being drowned out in certain parts of the world. We must stay engaged in the public as well as the trade debate. I've been to Europe several times to talk about biotechnology. The first time, I faced women who took their clothes off and had things written on their body like no gene bean' and the naked truth' ... at least that's what my staff who looked tell me. The second time, the message was taken more seriously. I do have faith that given all the facts people around the world can make a responsible decision to embrace a safe, sustainable future. It is my hope that biotechnology will be at the top of the agenda in the 99 Uruguay Round talks. It will be one of the most serious decisions we make for our world headed into a new century. Of course, it's not the only issue we both want to see addressed in 1999. There's also the issue of greater transparency with State Trading Enterprises. We need far more clear assurances that they are honoring the rules of fair play and not merely hiding subsidies. I hope that we also can work together toward the elimination of export subsidies in all WTO countries. I agree with Secretary Sola that we should accelerate worldwide reductions in export subsidies -- ahead of the Uruguay Round schedule. All export subsidies do is invite trade wars as other countries feel compelled to retaliate, driving up costs for the governments, and manipulating the very markets we have only just committed to allowing to move more freely. Individual countries cannot have it both ways. Free and fair trade by definition must be reciprocal. The barriers have to come down all around. Regardless of the frictions that do exist in world trade, there is undeniable overall progress. Just look at the rising strength of our 2 nations, and the fact that last year's U.S. agricultural exports here hit a record $200 million while your agricultural imports were 3 times that amount. We are both benefitting from expanded trade, but we both know that there is still much work to be done. When President Clinton was here, he laid a wreath at the memorial for General San Martin. In the United States, we would call him Argentina's George Washington -- the liberator of your country ... someone who fought for freedom here and throughout South America. In referring to the advances he risked his life for, General San Martin once said that all progress is the child of time.' I believe that is as true for trade as it is for revolutionary war. The global economy is still young and impressionable. These are formative years. Clearly, there will be some trips and stumbles along this new path. But it should be equally clear that our progress is building into something larger and more permanent. What precisely that future amounts to will depend in no small part on our decisions today. We are setting precedents in how we deal with one another. The rules we agree to -- and hopefully live up to -- will help set the stage for international relations in a new millennium. It is the United States' hope that through expanded fair trade, we can build a more open, peaceful and prosperous community of nations. Through Argentina's strong commitment to free and fair trade, I believe that you share our vision for the future. On behalf of President Clinton, I thank you for being such a strong ally, and I thank you again for inviting me here this morning and to this wonderful country. ###