MS. HOWSE: Hi. Thank you for hosting this listening session, the last crown of glory, I guess you could say of the listening session tour. There's also one taking place in Montana at the same time. So these will wrap up our 12 sessions. This is a listening session, so I want to spend most of my time listening.

Let me start with a few brief remarks on the principles of our agricultural trade policies, the Administration's view of the need for a new negotiating round, and the major agricultural issues that it's likely to address.

To begin with, our agricultural trade policies rest on a few basic principles: opportunity, fairness and respect for science.

As most technologically advanced, most productive farmers in the world, our agriculture producers depend on fair trade laws to address foreign dumping and subsidies, or import surges in particular commodities. And exporters and consumers alike require a strong, science-based food inspection regime to ensure confidence in the food supply and make sure foreign countries are not creating new trade barriers.

These have been some of the Administration's fundamental goals over the past six years. And we've done reasonably well in achieving them.

Most fundamentally, through the WTO, we have created a set of international principles to ensure open markets and fair treatment for American producers.

The WTO represents 50 years of bipartisan American leadership in creation of an international trading system that brings down foreign trade barriers and promotes the rule of law in trade. It has helped raise incomes, create jobs and promote American values of fair play and the rule of law worldwide. We brought agriculture into the trading system in '95 and the results have been very good.

First of all, the talks that created the WTO cut tariffs and created tariff-rate quotas where there previously had been no access on farm and ranch products worldwide. We also cut foreign subsidies. We won consensus that health and food safety standards should be based strictly on science and public health rather than serving as disguised barriers to your products. And all of these have created new opportunities in markets for our goods.

At the same time, we've created a strong enforcement mechanism that makes sure our trading partners live up to their commitments. And we have been the most active user of the system. We've succeeded in 20 of our 22 cases, and nine, nearly half, have addressed agricultural commodities from fruit sails to Japan, to pork in the Philippines, dairy in Canada and, of course, those with respect to the EU, where we have imposed sanctions over the banana case and beef case due to Europe's refusal to comply.

And we found new opportunities through a series of bilateral and regional agreements -- almonds in Israel, beef in Korea, grains in Canada, pork and poultry in the Philippines, and most recently resolution of a pesticide issue in Taiwan.

The most recent example of that would be the recent agreement we signed with China in April. This was made possible by the WTO Sanitary and Phytosanitary Agreement which went into effect in 1995. This has already lifted China's ban on citrus products, wheat and other grains and meat and poultry from all USDA-approved plants. When combined with cuts in Chinese tariffs, after China joins the WTO, to 12 percent on pork and beef and 10 percent on poultry, this will result in a substantial increase in our exports to China.

At the same time, our work is not done. That's why we're here. We view the next round as an opportunity to help address some of the remaining trade barriers and we are looking to you for ideas on how to do that. Agricultural issues will be at the heart of our next agenda. As Vice President Gore has said, "Our economy depends on fully productive and competitive agriculture." And the Round is our biggest single opportunity to address these issues.

Thus, in the months ahead, we're beginning to set a specific agenda. Broadly speaking, we have several goals: To reduce tariffs and other barriers to our products overseas; promote fair trade by eliminating export subsidies and reducing trade-distorting domestic supports; ensuring greater transparency and fairness in state trading; helping to guarantee that farmers and ranchers can use safe modern technologies, in particular biotechnology, without fear of trade discrimination; and ensuring that American producers have the right to effective remedies against dumping, subsidies and import surges.

Again, we want to hear the suggestions that you have and the interest and concerns that you have and would like addressed in the next round. I've had plenty of experience listening. My dad is a farmer in Michigan and last year, unfortunately, was forced to throw in the towel due to some of the same problems that you're experiencing. So you'll be the last that I listen to, but certainly you haven't been the first and I look forward to your comments.