By Scott Miller
Washington File Staff Writer

Washington -- The formation of a Free Trade Area of the Americas (FTAA) offers an important opportunity to spur the economic growth necessary to alleviate poverty and raise living standards throughout the Americas, and the nations of the region are counting on the United States and Brazil -- as co-chairs of the FTAA process -- for leadership in crafting the trade agreement, says U.S. Secretary of Agriculture Ann Veneman.

In September 23 remarks at the U.S. Chamber of Commerce in Washington, Veneman and Brazilian Minister of Agriculture Roberto Rodrigues offered their insights on the prospects for progress in the FTAA process.

Following the August 2004 establishment of an agricultural framework agreement in World Trade Organization (WTO) talks in Geneva, Veneman said the United States was hoping for some spillover of momentum in FTAA talks. Such a spillover, she said has yet to materialize.

"We have yet to see how recent developments in Geneva may affect the FTAA negotiations," Veneman said.

The U.S. official said that with full liberalization, agricultural trade in the Western Hemisphere could expand by $4 billion. The cultivation of this and other FTAA benefits, she said, will require considerable cooperation.

"The ultimate success of the FTAA will depend on the commitment of all the countries to strong regional integration that will benefit the entire hemisphere," she said.

Veneman said that as the United States and Brazil both produce more food than their respective people can consume, help feed the world beyond their borders and rely heavily on technology in agriculture, they share common interests in advancing trade liberalization.

"We have too much in common to let our trade differences block the path to trade liberalization," she said.

Moreover, Veneman said that the other nations of the hemisphere are depending on the United States and Brazil to be leaders together in forging a hemisphere-wide trade agreement.

Mindful of the perception that FTAA talks have fallen behind schedule, she said, "The January 2005 goal for concluding the FTAA is a challenge, but is not carved in stone and can be changed."

For his part, Rodrigues said the FTAA remains important for Brazil. He expressed optimism that the talks could be re-energized following the U.S. elections in November, with an agreement possible in the coming year.

"Even if the FTAA process is sleeping, we hope that after the elections we can get it going again," Rodrigues said.