BRAZIL TARGETING U. S. CITRUS TARIFFS

Publication: Tampa Tribune
Printed: Thursday, December 18, 2003
Written by: Gary Haber


TAMPA - U.S. Sen. Bill Nelson expressed concern Wednesday that Brazil may be trying to barter support for placing a Western Hemisphere free-trade group's headquarters in Miami in exchange for an end to U.S. tariffs on Brazilian citrus.

The Tallahassee Democrat, in a conference call with reporters, said he was advised by a high-ranking U.S. official that Brazil was trying to cut the deal during last month's Free Trade Area of the Americas meeting in Miami.

"They're hellbent to have open access to the U.S. market,'' Nelson said from Brasilia, where he met with Brazilian officials as part of a seven-nation Latin American mission.

Brazil wants to increase the amount of concentrated orange juice it ships to the United States by eliminating the 29 1/2-cents-a-gallon U.S. tariff, which would cripple Florida's $9 billion citrus industry, Nelson said. Florida growers would not be able to compete with Brazil's lower wages and land prices, he said.

"If the tariff is reduced or eliminated, in my judgment it will spell the death of the Florida citrus industry as we know it,'' Nelson said.

The senator said his concerns were not allayed when he met with Brazilian Vice President Jose Alencar. The Brazilian said that instead of pushing to keep the tariff, Florida citrus growers should consider moving their operations to Brazil, Nelson said.

"That's highly implausible, nor is that something we would ever consider,'' he said.

Trade ministers from 34 countries met in Miami in late November to discuss creating a free-trade zone that will span the Western Hemisphere, except for Cuba.

Landing the FTAA's headquarters, which would administer the free-trade pact, would mean jobs for Miami and bolster the city's image as a gateway of Latin American trade. A decision on the headquarters location will come next year.