Nafta

North American Free Trade Association (NAFTA)

In 1992, the United States, Canada and Mexico signed the North American Free Trade Agreement (NAFTA). This trade pact would gradually eliminate most tariffs and other trade barriers on products and services passing between the countries, establishing free trade among them. Speculate both positive and negative effects that NAFTA may have had on you

Read "In Corn's Cradle, U.S. Imports Bury Family Farms," focusing on the following questions:

Ð'* In what ways is corn a central item in Mexico's culture, history and economy? Corn has been the staple of Mexican heritage for almost 5000 years. Corn is a central item in Mexico's history for many generations of farming and harvesting corn for a profit. Most meals in Mexico are made from some type of corn. It is the main meal of poor Mexicans.

Ð'* The third paragraph states that "the modern world is closing in on the little patch of maize, known as the milpa, that has sustained millions of Mexicans through the centuries." How, according to the article, is this happening? The modern world has created modern technology to harvest the corn twice as fast. It has forced many of the Mexican farmers to abandon their customs. How is American agribusiness seemingly portrayed in this article? The American agricultural business is portrayed in a negative way, because they have "taken over" the corn industry through The NAFTA Preamble. The American businesses are exporting corn to Mexico at a cheaper price.

Ð'* How many Mexicans farm corn, and how many family members are supported by it? There are about 3 million Mexican farmers and they support roughly 15 million families.

Ð'* Why is Lorenzo Rebollo's "story" similar to others' stories all over Mexico? His story is similar because all the farmers in Mexico are going through the same crisis, and he speaks for all of them.

Ð'* How much of the corn in Mexico is imported from the United States, and how has this impacted corn growing in Mexico? Roughly 1/4 of the corn is imported from the United States. This has impacted Mexico by taking away farming from the citizens. Many other farmers leave to find other jobs or go to the United States.

How has NAFTA affected the corn agribusiness in Mexico and in the United States? How do free trade and farm policies differ in this industry in the two countries? NAFTA has affected the agribusiness in Mexico by selling the corn at a cheaper price. The agribusiness profits in The United States has produced an 18-fold return. It differs because in Mexico the trade taxes may be free, but the Mexicans do not have the money or the technology to produce massive amounts of corn in a short period of time.

Why does this article use the term "survival instincts" to describe how Mexican corn growers must act? They use "this term", because Mexican farmers know that it is a short amount of time before they will no longer be in business.

Ð'* What have been and will be some of the effects of the United States being "able to export all the corn it wants to Mexico, duty free, by 2008"? The effects will be a collapsed economy of Mexico.

What did NAFTA's drafters say would happen, and what has happened? The imports will probably keep growing for the next six years as the final phases of NAFTA take effect. Nafta's drafters told Mexico's farmers that as the ceiling lifted, the price of corn in Mexico would slowly fall toward United States and international prices over the 15-year period.

Ð'* Why do the small farmers in Mexico "have little political clout under the government of President Vicente Fox"? He's a staunch free trader Why is this mentioned? It is mentioned because the reader needs to know who's making the decisions.

What was predicted about the effect of American imports on Mexican agriculture when the trade pact took effect? Since Nafta took effect eight years ago, imports of corn to Mexico from the United States have increased nearly eighteenfold. What was not foreseen? In Mexico, Nafta did away with many traditional subsidies and generous price supports. Some contend it is doing away with small farmers Also prices plunged quickly, converging with the free-market price in 1997.

Ð'* Why is "the importation of bioengineered corn from the United States ... a separate but heated issue"? It is a problem because The United States altered the original form of the corn. The Mexican farmers were producing blue corn for the tortillas and now the US has produced the same genetically altered item in massive amounts. The corn doesn't taste the same and it is processed food.

The last three paragraphs of the article offer different opinions on what Mexican farmers will need to do in the future. How do you interpret these different views? First of all, according to some officials the NAFTA project has been good for the Mexican economy. Secondly, it was said that if the farmers feel that their craft is being taken from them then, state legislators of Mexico should step in and protect it. Lastly, Mr. Rebollo says that his tradition of growing corn is going to come to an end when he passes.

Part 2 Create a chart with the following characters (corn farmer in Mexico, farmer in the US, owner of Mexican animal feed company that imports feed from US, owner of US animal feed company ) While pretending to be each of these characters please answer the following questions in that chart. Submit to educator under assignments ; NAFTA

1) Has NAFTA been financially beneficial to you? Why or why not?

MX Farmer- No, because NAFTA has created competition and monopolized the market by getting rid of the small farmers

U. S. Farmer- Yes, because it has created profits and kept the U. S. in business

MX Animal Feed Co.- Yes, it is beneficial because I can buy it at a cheaper price from the U. S.

U. S. Animal Feed Co.- Yes it helps me because I can genetically alter the corn by making more and larger and still make a profit

2) How has NAFTA impacted your family?

MX Farmer- It has put my family

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