The Columbia FTA which was signed two years ago under “fast-track” rules with the US is going through turbulent times. The US administration has to find a quick fix solution by compelling lawmakers to consider the deal within a maximum of 90 session days.
The recession fears have forced both presidential hopefuls Barack Obama and Hillary Clinton to skeptically view all the trade pacts and NAFTA is already under scrutiny. In such a scenario, the administration is in a dilemma whether they should present the case to the Congress for approval. The democrats have the majority in the congressional house; therefore, it is too early to speculate on the outcome of forthcoming debate. The administration officials and the congressional staffers have intensified their efforts to get a negotiated settlement on this issue.
Many Democrats are opposed on the grounds that the Colombian government has not done enough to curb violence against union leaders in its fight against the Fuerzas Armadas Revolucionarios de Colombia (FARC), the rebel arm of Colombian communist party. Some experts are of the opinion that, it is possible to garner support from them if the administration could extend federal aid to displaced workers by trade or Trade Adjustment Assistance program which promises due compensation either by re-employment or providing other benefits.
Colombian exporters already have broad access to the US markets through the Andean preference program, but the continued momentum could be gained only through the trade pact.
The Columbian officials claim that the green signal to the pact would attract investments and would strengthen the economy. They further argue that a strong economy can insure national security and political stability. The argument is gaining acceptance, especially after Colombian forces killed a FARC leader in Ecuadorian ¬territory which as resulted in a stand off between Ecuador and Venezuela.
Analysts believe that at this juncture, it would be unwise for the US to go against the trade pact because there is growing antagonism against the US economic policies in the region. Hugo Chavez’ anti-American slogans will get a boost if the house takes a negative decision on this matter.