DES MOINES – Gov. Terry E. Branstad has co-written a bipartisan governors’ letter urging President Obama and Congress to make forward progress on three trade agreements that have great potential to open up foreign markets to U.S. exports and to encourage further investment in the U.S.
The letter is joined by a bipartisan group of governors because state leaders understand the importance of opening up foreign markets to empower American businesses, workers, and agricultural producers to effectively compete in a dynamic, global economy.
“With an increasingly competitive global economy, it is important for President Obama and Congress to break-down barriers to international trade,” said Branstad. “Trade helps drive economic growth through high-paying jobs for American workers and increased opportunities for American businesses and agricultural producers.”
“Governor Branstad and I understand the importance of these trade agreements to Iowa businesses,” said Iowa Lt. Gov. Kim Reynolds. “Iowa has many innovative companies and agricultural producers that depend on foreign markets for their long-term success and international buyers recognize Iowa as a provider of world-class, high-quality products.”
Iowa’s economic growth is closely linked to international trade and the State’s job and income growth goals:
· In 2012, Iowa exported over $14.6 billion worth of goods to countries around the world.
· From 2011 to 2012, Iowa exports grew by almost 10%, compared to national export growth of just 4.5%.
· More than 2,500 companies in Iowa export products around the world.
· Iowa’s farmers and agribusinesses rely on international trading agreements to open the door for Iowa’s grain and meat products.
· Based on U.S. Department of Commerce estimates and export statistics, Iowa’s exporting companies supported approximately 73,000 jobs in 2012.
*Statistics Reference: www.iowaeconomicdevelopment.com/newsdetails/5654
Iowa Secretary of Agriculture Bill Northey voiced his support for trade progress stating, “Iowa agriculture has seen tremendous benefits from free trade and there is potential for even more growth if these trade agreements are finalized. Our farmers do an amazing job producing safe, affordable food and what they need is fair access to additional markets.”
Debi Durham, Director of the Iowa Economic Development Authority, stated the following: “International trade helps grow the Iowa and U.S. economy. The recent bipartisan agreement between congressional committee leaders on Trade Promotion Authority is a positive step for removing governmental hurdles to private sector trade. Movement on these trade agreements would help enable Iowa’s agricultural producers and manufacturers to compete on a level playing field.”
Teresa Wahlert, Director of Iowa Workforce Development added: “We also encourage the Federal government to empower the states with flexible workforce programs, including support for innovative programs like the Skilled Iowa Initiative, to ensure American workers have the skills needed to compete globally.”
The below 15 governors signed the letter:
State/Territory – Governor’s Name
Alabama – Gov. Robert Bentley (R)
Arkansas – Gov. Mike Beebe (D)
Florida – Gov. Rick Scott (R)
Indiana – Gov. Mike Pence (R)
Iowa – Gov. Terry Branstad (R)
Kansas – Gov. Sam Brownback (R)
Mississippi – Gov. Phil Bryant (R)
Nebraska – Gov. Dave Heineman (R)
Nevada – Gov. Brian Sandoval (R)
New Mexico – Gov. Susana Martinez (R)
Northern Mariana Islands – Gov. Eloy Inos (I)
Oklahoma – Gov. Mary Fallin (R)
Pennsylvania – Gov. Tom Corbett (R)
Rhode Island – Gov. Lincoln Chafee (D)
Utah – Gov. Gary Richard Herbert (R)
The full text of the letter can be read below:
Dear Mr. President, Majority Leader Reid, Speaker Boehner, Minority Leader McConnell, and Minority Leader Pelosi:
As chief executives of their states and territories, governors have a unique perspective regarding the importance of international trade and foreign direct investment (FDI) on our respective economies. Governors are actively promoting our businesses globally because over ninety five percent of the world’s consumers live outside the United States. We also recognize that FDI creates high paying jobs in our states that support lasting careers in our own communities. Following the strong bi-partisan support for trade in recent years, we ask you to support the Trans-Pacific Partnership (TPP), the Transatlantic Trade and Investment Partnership (T-TIP), and the Trade in Services (TISA) agreements, which have great potential to help our country compete in a dynamic, global economy.
These robust international trade agreements will enhance and expand economic partnerships and diplomatic relationships between the United States and participating countries. Reductions in trade barriers and increased market access allows our businesses, workforce, agricultural producers, and service sectors to compete on a more level playing field to help drive economic growth and increase family incomes. We are encouraged by the comprehensive nature of these agreements, but we do want to underscore that the primary purpose of the agreements should be to increase market access, including improved access for US agricultural and manufactured goods abroad, while establishing ambitious rules to protect intellectual property, empower American workers, ensure fair competition with state-owned enterprises, and foster the digital economy.
We believe that the national and global economy can grow at a more robust pace and that trade liberalization will be a key component of that future growth. Enacting comprehensive agreements improves the economic standing of all parties. International trade is not a zero sum game and regulatory cooperation, done properly, can improve the efficiency of our regulatory agencies.
As governors, we strive to create a healthy economic environment in which our citizens can thrive. We strongly favor the continued pursuit of comprehensive trade agreements with TPP, T-TIP, and TISA countries that focus on market access and establishing rules and disciplines that address emerging challenges to the global trade system. We encourage forward progress on these trade initiatives to enable our citizens to compete fairly in the world market.
We stand ready to support efforts to educate and inform our friends and allies on these promising agreements.
