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NEWS STATEMENT FOR IMMEDIATE RELEASE CONTACT: Curt Mercadante 202-331-1634 May 12, 2003 CORN REFINERS LAUD SENATOR GRASSLEY'S EFFORTS TO PROTECT FREE TRADE, IOWA AGRICULTURE The Corn Refiners Association, Inc. (CRA) today applauded Senator Charles Grassley (R-IA) for his strongly worded letter urging Mexican officials to stop taking actions against U.S. agricultural products "that undermine the spirit, if not the law, of the North American Free Trade Agreement (NAFTA)." "We are grateful to Senator Grassley for his invaluable efforts to protect working and farming families in Iowa and across the country," said Audrae Erickson, president of CRA. "The Senator's letter to Secretary Arroyo underscores the importance of protecting the economic prosperity and security that NAFTA holds for both the U.S. and Mexico." "The United States and Mexico made commitments with the signing of NAFTA. Both countries must abide by those commitments," wrote Grassley in his letter to Mexico's Agricultural Secretary Javier Bernardo Usabiaga Arroyo, Ambassador to the U.S. Juan José Bremer, and Foreign Minister Luis Ernesto Derbez. "Mexico's continued pattern of not meeting its international trade obligations is unacceptable." Continued the letter, "Commodities affected by Mexico's recent actions and threatened actions include pork, corn, high fructose corn syrup (HFCS), beef, rice, apples, and dry beans. The first four of these products are produced by Iowa, the state I represent in the U.S. Senate." CRA is especially affected by Mexico's actions because U.S. exports of HFCS to Mexico have been shut down for 17 months. No other major U.S. agricultural or non-agricultural exporting industry has had its top export market closed for this period of time. Sweetener consuming industries have been harmed due to a loss of price competition in the marketplace. For every 2 million metric tons of HFCS access into Mexico, the U.S. will lose: $620 million annual HFCS export sales; more than $300 million annual corn sales; 133 million bushels of bulk corn production; 945.7 thousands acres of corn production; and additional losses to seed, fertilizer and farm machinery industries and related rural investment. As a result of Mexico's protectionist actions, the corn refining industry has idled capacity, lost jobs, and experienced significant losses in profitability. Added Erickson, "The longer it takes to reach a settlement, the more the corn industry suffers." EDITORS NOTE: A copy of Senator Grassley's letter to the Mexican officials can be found on the Web at: http://grassley.senate.gov/releases/2003/p03r05-08a.htm. For more information on the corn refining industry, visit the Corn Capsules newsletter page. 
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