MISSISSIPPI

AND COLOMBIA A GROWING PARTNERSHIP

A U.S.-Colombia Trade Promotion Agreement (CTPA) has the potential to increase both trade and investment between the United States in Colombia, improving on an already strong relationship. In particular, Mississippi stands to gain from increased business ties, as the CTPA will create jobs at home through increased export market access for both goods and services, reduced prices for manufacturers, and an improved investment environment. AT $233 MILLION IN 2010, COLOMBIA IS MISSISSIPPIS 9TH LARGEST EXPORT MARKET

Total Mississippi Exports to Colombia

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Upon implementation of the CTPA, up to 99 percent of Mississippis exports to Colombia will be duty free. This tariff elimination gives Mississippi exporters a cost advantage of up to $2.9 million over similar products exported by competitors who do not have an FTA with Colombia. While Mississippi exporters typically face tariffs of 10-15 percent, 94 percent of Colombias exports to the United States in 2010 entered duty free. CTPA would level the playing field for Mississippi exporters.

Estimated Increases in U.S. Exports in Sectors Important to Mississippi Wood Products Poultry Products Fabricated Metal Products Processed Foods Chemicals Transportation Equipment 72.6% 72.3 56.4 36.2 22.6 16.1

Source: U.S. International Trade Commission

 Value of Exports Potential Product to Colombia (2010) Duty Savings Dry pigments $23,098,160 $1,154,908 Chemical woodpulp 4,937,804 493,780 Printer, copier, and fax machine parts 1,481,637 up to 148,164 Non-woven fabrics 1,264,901 189,735 Surveying instruments 946,606 47,330 803,719 80,372 Cotton 782,622 up to 117,393 Piston engine parts 736,277 73,628 Hydrogen peroxide 660,960 up to 33,048 Organo-inorganic compounds Print, copy, and fax machines 658,655 65,866 COMPANIES WHOSE EXPORTS BECOME DUTY FREE IMMEDIATELY UPON IMPLEMENTATION OF CTPA Metaris, Forest, exports construction equipment to Colombia that faces tariffs of 5 percent. A & B Equipment, Madison, exports shovel loaders to Colombia that face tariffs of 10 percent. Marcello Sons Cranes Equipment, Lauderdale, exports parts for derricks to Colombia that face tariffs of 5 percent. Kennedy Engine Company Inc., Biloxi, exports piston engines to Colombia Desiccare Inc., Richland, exports clay that face tariffs of 10 percent. to Colombia that faces tariffs of 5 percent.

Contact: David Thomas, Director, Public Policy, Business Roundtable 202.496.3262, dthomas@brt.org

10 MISSISSIPPI EXPORTS THAT CTPA WILL MAKE DUTY FREE IMMEDIATELY