WASHINGTON, Nov. 7 (UPI) -- President George W. Bush said Monday the United States and Panama were close to completing a free trade agreement.
"We're in the midst of negotiating a free trade agreement with Panama," said Bush, at a joint press conference with Panama President Martin Torrijos in Panama City. "And we're close to an agreement, and we'll continue to work on that agreement for the good of our respective people."
Bush, wrapping up a five-day, three-nation tour of Latin America, said the trade deal would help to eliminate poverty and create better jobs.
The United States and Panama began negotiations in April 2004. Bilateral trade between the two nations totaled $2.1 billion in 2003, with exports accounting for $1.8 billion. U.S. exports to Panama grew over 30 percent between 2002 and 2003, while nearly half of Panama's total imports come from the United States.
Bush said that a bilateral trade deal with Panama would run into resistance in the U.S. Congress, especially among Democrats.
"We're going to have to work the Congress," said Bush. "And one area that we need to make progress on is with the Democrat Party."
The Central American Free Trade Agreement which includes Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and the Dominican Republic faced strong opposition by Democrats earlier this year. The U.S. trade deal narrowly passed the House of Representatives by two votes in July.
Ranking Democrat of the House Ways and Means Committee refuted Bush's claims over the lack of Democratic support arguing that negotiations with Panama had not been completed in areas like poultry, rice, pork and sugar.
"It is hard to understand why the president is blaming Democrats in Congress for holding up an agreement that his own negotiators haven't even been able to finish," said Rep. Charles Rangel, D-N.Y.
