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$100 million; rural communities will lose $150-$200 million annually; the impact 

 will be heavier in the Southwest; and U.S. exports to Mexico will not increase. Two 

 major provisions should be included in the implementing legislation to protect pea- 

 nuts. First, a provision that penalizes peanuts that are exported and then reenter 

 the U.S. market to take advantage of higher prices. Second, imported peanuts must 

 be required to meet the same quality and grade standards as domestic peanuts. 



The Senate of the State of Hawaii 



The Hawaiian State Senate opposes the NAFTA and passed a resolution that the 

 State's congressional delegation oppose the agreement. The agreement should be op- 

 posed because it will damage the domestic sugar industry which is an integral part 

 of Hawaii's economy and heritage. Mexico will be capable of exporting sugar within 

 15 years because its beverage industry will convert to corn sweeteners, it will be 

 able to replace its domestic demand with imported sugar, and consumer demand 

 will be weakened by increasing prices. 



Henningsen Foods, Inc. (poultry and eggs) 



Its concerns with the agreement mirror the concerns of the whole poultry and egg 

 industry. Specifically, the company is concerned about the sanitary practices of 

 Mexican operations. The proper safeguards must be established to ensure that im- 

 ports meet U.S. standards. It is also concerned about the Canadian pricing system 

 that limits access to its market and promotes export to the United States. Although 

 disappointed that Canada is not included in the agreement, it does support the 

 agreement because of the level of access to the Mexican market. It is, however, dis- 

 appointed with the definitions used for egg, poultry and related products, and the 

 tariff levels for the first 6 to 7 years for unprocessed eggs and poultry are too high. 



Institute of Shortening and Edible Oils, Inc. 



The ISEO fully supports the NAFTA. The agreement will increase the potential 

 export of oilseeds and oilseed products, and overall its members will benefit. The 

 rules of origin should be strong enough to prevent transshipment through Mexico. 



International Apple Institute 



The IAI strongly supports the NAFTA. The agreement will significantly increase 

 apple exports to Mexico. The tariffs on fresh and processed apples will be phased 

 out over 10 years. The agreement will also help provide a forum to address disagree- 

 ments and disputes. 



International Dairy Foods Association 



The IDFA supports the NAFTA and GATT. The food industry will be served well 

 by more liberal trade in North America. Mexico will be a important market for high- 

 er value products such as meats and dairy products. The agreement will strengthen 

 Mexico's economy and generate new markets for U.S. products. 



Iowa Farm Unity Coalition 



It is very concerned about the impact the NAFTA will have on the livestock indus- 

 try. Section 22 and the Meat Import Act should not be overridden by the agreement. 

 Mexico's pork industry will modernize to meet health standards, and meat proc- 

 essors and packers will move to Mexico to take advantage of cheaper labor. The re- 

 sulting loss of jobs will be significant, and rural America will be hit the hardest. 

 It is also concerned that U.S. laws will be challenged, and the United States will 

 be forced to lower its standards. 



Land O'Lakes, Inc. 



It has no formal position on the NAFTA, but the Chairman believes sanitary and 

 phytosanitary standards allow equivalence and its rules of origin provisions are ade- 

 quate. It is concerned about enforcement, and that the United States provide suffi- 

 cient resources for monitoring and inspections. 



Louisiana Rice Growers Association 



Supports agreement. It would have liked to see tariffs reduced earlier than pro- 

 vided for, but it supports the agreement as long as rules of origin and food safety 

 standards are upheld. 



M-M Associates (fruit and vegetable trade) 



Supports the Agricultural Technical Advisory Committee for Trade in Fruits and 

 Vegetables position on the NAFTA. It must be guaranteed that S&P measures can- 

 not be used against the United States as nontariff barriers and that rules of origin 

 and intellectual property rights are strictly enforced. 



M&M Mars (Peanuts) 



Strongly supports the NAFTA despite the objections of the remainder of the pea- 

 nut industry. The agreement will result in increased export of peanuts in confec- 



