U.S., Colombia Reach Free-Trade Agreement

The United States and Colombia reached a free-trade agreement Monday after resolving difficult farm issues that kept negotiations going for nearly two years, both countries said.

The agreement, which before taking effect must be approved by Congress, would strengthen economic ties between Washington and Bogota.

Colombia receives billions of dollars in U.S. aid to fight leftist insurgents linked to the Andean country’s cocaine trade.

“The agreement will help foster economic development in Colombia, and contribute to efforts to counter narco-terrorism, which threatens democracy and regional stability,” U.S. Trade Representative Rob Portman said in a statement.

It also “will generate export opportunities for U.S. agriculture, industry and service providers, and help create jobs in the United States,” Portman said.

The deal provides Colombia with duty-free access to the U.S. market for almost all of its industrial goods, the Colombian government said. In turn, Bogota would immediately eliminate tariffs on nearly 82% of U.S. industrial goods and reduce duties in the petrochemical sector over seven years.

The United States began talks with Andean nations Colombia, Peru and Ecuador in May 2004 and wrapped up a deal with Peru in December. Talks continue with Ecuador. Bolivia, an observer in the trade talks, could become part of an agreement, Portman’s office said.

Portman has said he hopes to send all three Andean agreements to Congress this year as a single package.