RILA and Leading Coalition Urge Renewal and Reform of U.S. Trade Preference Programs

Arlington, VA – Today the Retail Industry Leaders Association (RILA), as part a coalition of non-governmental organizations and U.S. businesses, urged Congress and the Administration to review and reform U.S. preference programs for developing countries, and to do so in a timely manner given the scheduled expiration of certain programs. The coalition sent letters to the Chairmen and the Ranking Members of the House Ways and Means and Senate Finance Committees and to the United States Trade Representative, Ambassador Ron Kirk.

The letters, signed by a group of 28 importers and non-governmental organizations, highlights the benefits that properly structured preference programs can have on development in poor countries and on the creation of economic opportunities both in developing countries and in the United States; the letters encourage policymakers to replace the patchwork of current preference programs with a single, comprehensive trade preference program for developing countries with:

- Simple and straightforward rules of origin,
- Broad product coverage
- Clear and predictable eligibility criteria for countries and products, and
- A strategic view to address country and product “graduations” that would encourage additional bilateral and multilateral trade between and among the United States and developing countries.

“U.S. trade preference programs have a profound positive effect on the reduction of poverty in the world’s poorest countries by creating new economic opportunities for people in the developing world as well as here in the U.S., ” said Stephanie Lester, vice president for international trade.

The Proposal for U.S. Preference Program Reform created by this coalition would preserve the best aspects of existing programs and repair ineffective previsions to deliver meaningful benefits to developing countries and the United States.

“RILA strongly supports the coalition’s efforts to make strategic changes to U.S. preference programs that provide meaningful trade benefits, coordinate trade and capacity building efforts, and create a bridge to a more open trading system,” added Lester.

The Retail Industry Leaders Association (RILA) promotes consumer choice and economic freedom through public policy and industry operational excellence. Its members include retailers, product manufacturers, and service suppliers--which together provide millions of jobs and operate more than 100,000 stores, manufacturing facilities and distribution centers domestically and abroad.