July 29, 1998

Ms. Gloria Blue
Executive Secretary
Trade Policy Staff Committee
Office of the US Trade Representative
Room 501
600 17^th Street, NW
Washington, DC 20508

Dear Ms. Blue,

On behalf of the Joint Industry Group (JIG), I submit these comments in response to the July 6, 1998, Federal Register notice (63 FR 36470) seeking public input regarding the US government’s negotiating position during the Free Trade Area of the Americas (FTAA) formation process.

JIG is a coalition with more than 130 members including Fortune 500 companies, trade associations, professionals and businesses actively involved in international trade. We both examine and reflect the concerns of the business community relative to current and proposed international trade-related policies, actions, legislation, and regulations, and undertake to improve them through dialogue with several Executive Branch departments and agencies and the Congress. JIG membership represents more that $250 billion in trade.

JIG actively supports the FTAA and US negotiators’ efforts in drafting an agreement that will provide economic and social benefits to all member countries. There are several customs-related objectives that the US must promote during the upcoming negotiations. Among these, JIG members request that the FTAA promotes a program where all FTAA countries actively develop transparent customs processes and a harmonious system of rules and regulations common to all FTAA countries. This can only be achieved if all FTAA members adopt the Harmonized System of commodity classification, comply with GATT Article X to promote customs process transparency, application of the WTO valuation code, and adherence to the WTO Preshipment Inspection Agreement.

In the area of rules of origin, the San José Ministerial Declaration states the goal to develop efficient and transparent rules of origin, including nomenclature and certificates of origin. This would facilitate the exchange of goods without creating unnecessary trade obstacles.

This goal needs to be fully implemented and will be through the adoption of the WTO Rules of Origin as a basis for the development of the preferential rules. The FTAA must be adaptable to changing economic and political conditions. This includes provisions for the continued growth of electronic commerce through such technologies as the Internet and the development of automated customs clearance processes. This added flexibility will allow FTAA members to continue growing and progressing as the global economy strengthens and provides concrete benefits to all the FTAA countries.

The Joint Industry Group membership thanks you for considering these comments in the upcoming FTAA negotiations.

Sincerely,

Joseph A. Vicario, Jr.
Chairman
Joint Industry Group

Material Copyright © 1998 Joint Industry Group