NAFTA AGRICULTURAL ADVISORY COMMITTEE RECOMMENDS TRI-NATIONAL Release No. 0391.97 Alicia L. Ford (202) 720-8998 aford@usda.gov Robert Leverette (202) 720-8998 rleverette@usda.gov NAFTA AGRICULTURAL ADVISORY COMMITTEE RECOMMENDS TRI-NATIONAL PRIVATE COMMERCIAL DISPUTE RESOLUTION SYSTEM WASHINGTON, Oct. 29, 1997--Secretary of Agriculture Dan Glickman today announced that the North American Free Trade Agreement Advisory Committee on Private Commercial Dispute Resolution Regarding Agricultural Goods recommended that the NAFTA governments help establish an industry operated tri-national dispute resolution program. "The recommended program, which would be used to resolve private commercial disputes involving perishable fruits and vegetables, will be considered at the NAFTA Committee meeting on Agricultural Trade in November," Glickman said. The proposed program is intended to complement and improve upon current systems, said Michael V. Dunn, assistant secretary for marketing and regulatory programs. Key elements include the formation of an organization operated and supported by industry, and the maintenance of a list of participating firms which trade across national borders within the free trade area. Merchants wishing to be listed would agree to abide by an established set of trade standards. The tri-national organization would resolve trade disputes, and firms refusing to comply with the results would be de-listed, which could be widely advertised through trade journals and other means. Dr. Kenneth Clayton, associate administrator of USDA's Agricultural Marketing Service and U.S. chairman of the committee, said the proposed program would operate across all NAFTA countries. Participating firms would adhere to a common set of trade practices, dispute resolution procedures, and sanctions. The primary incentive for participation would be added commercial benefits resulting from greater assurance of reputable business behavior between suppliers and customers. The NAFTA Advisory Committee on Private Commercial Disputes Regarding Agricultural Goods was established by Article 707 of the NAFTA to recommend a process to resolve private commercial disputes related to agricultural products. It is composed of private industry members and government representatives from the United States, Canada and Mexico. For more information on the proposed tri-national program, contact Dr. Kenneth Clayton, 1400 Independence Ave., Rm. 3071, Washington, D.C. S.W. 20205 or tel.(202) 720-5115. # NOTE: USDA news releases and media advisories are available on the Internet. Access the USDA Home Page on the World Wide Web at http://www.usda.gov