U.S.-Korea FTA Rice Exclusion Dismays Industry

WASHINGTON, April 3, 2007 — For Immediate Release — April 3, 2007

Contacts:

Bob Cummings, (703) 236-1473, rcummings@usarice.com

Dwight Roberts, (713) 974-7423, Dwight@usriceproducers.com

U.S.-Korea FTA Rice Exclusion Dismays Industry

The USA Rice Federation and the US Rice Producers Association, dismayed by yesterday’s news that rice had been excluded from the United States – South Korea Free Trade Agreement (FTA) concluded in Seoul, are reviewing the agreement to discern what benefits and exclusions it offers.

“The U.S. rice industry is clearly disappointed with the news we received yesterday,” the two organizations’ leadership said today.

“While we appreciate and applaud the diligent efforts by USTR Susan Schwab, Ambassador Richard Crowder, and Agriculture Secretary Johanns on behalf of U.S. rice in this agreement, the fact is that U.S. rice farmers and marketers have been excluded from one of the most significant bilateral trade agreements in over a decade,” USA Rice Federation Chairman Al Montna, a California producer, said yesterday. “This is the message we will be delivering to Capitol Hill.”

“This is a bad precedent for all future free trade agreements,” said Carl Brothers, senior VP, Riceland Foods, and chairman of USA Rice’s International Trade Policy Committee. “Rice was one of the last agricultural products to close in the Central America Free Trade Agreement, and the Colombia, Peru, and Panama FTA’s.”

“Monday’s decision by the administration to agree to the exclusion of rice in the Korea agreement will likely encourage other potential free trade partners to expect similar treatment,” Brothers said.

“Monday’s action is the latest example of the importance of the farm safety net for U.S. agriculture,” said US Rice Producers Association Chairman Dan Gertson, a Texas rice farmer. “Denying market access benefits to crops like rice is antithetical to free trade agreements. U.S. agriculture deserved better."

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USA Rice Federation is the national advocate for all segments of the rice industry, conducting activities to influence government programs, developing and initiating programs to increase worldwide demand for U.S. rice, and providing other services to increase profitability for all industry segments.