Glickman to Asia to view farm trade potentials

Glickman to Asia to view farm trade potentials

WASHINGTON (Reuter): Agriculture Secretary Dan Glickman goes to Asia this week to discuss issues vital to agricultural trade, but says he has no specific trade deals to make.

"I chose Asia because about 40 percent of our exports go to Asia, basically the largest single region," Glickman said over the weekend in a briefing on his upcoming two-week trip.

"The markets in Asia are explosive potentially, monumental growth markets -- largely because of population growth and economic growth," he said.

Taking advantage of a month-long congressional recess, Glickman plans to leave Sunday 6 for Tokyo. He will then travel to Jakarta, Singapore, Kuala Lumpur, Hong Kong and Seoul before returning to Washington on August 18.

In the first trip to Asia by a top department official since the latest round of the General Agreement on Tariff and Trade was completed, Glickman says increasing trade is a priority and plans to meet with his counterparts to discuss ways to accomplish that.

"There are a lot of countries that are good markets that will become much better markets in the future," he said. "In this post-GATT world we will be looking to break down barriers, tariff and non-tariff barriers, wherever they exist."

One concern Glickman expressed is the use of "bad science" as a non-tariff trade barrier, saying he doesn't want to see Pacific Rim countries use non-scientifically based regulations to restrict imports of U.S. farm goods.

Farm exports in the current fiscal year are expected to hit a record US$51.5 billion, with exports of meat, fruit and vegetables all setting records as growing economies and the weaker dollar boost consumer demand for a variety of foods.

Glickman said all of Asia holds huge potential for U.S. agriculture.

Indonesia

This fiscal year the U.S. also expects to ship more cotton to Indonesia and more soybean and vegetable oil to Indonesia, Malaysia and Singapore, while sales of U.S. livestock hides and skins to South Korea are surpassing previous expectations.

While in Hong Kong on Aug. 15 and 16, Glickman will meet with representatives of China's CEROIL Foods, the agency which handles China's grain import needs. China has become a huge market for U.S. farm products.

Glickman noted the recent political problems between Washington and Beijing, but that official communication needs to be maintained between the two countries.

"China is too important of a country to isolate. Agriculture is a very important part of bilateral relationship," he said.

Glickman's visit to Seoul comes on the back of the so-called "hot-dog dispute," settled last month, which could mean up to a billion dollars worth of additional sales of U.S. pork and beef to South Korea.

Glickman will focus on a growing market for processed, high value foods as well as bulk commodities and products.

The two-week trip will also afford Glickman an opportunity to meet a broad range of U.S. customers ranging from ministers of agriculture to retail shop owners.