Will Iran get the bomb? Experts say that it may be just a couple of years away from obtaining the ultimate weapon of mass destruction. Perhaps the Iranians don’t need that much time--you may recall that our “experts” were taken by complete surprise when India went nuclear in 1998.
We certainly need to take measures against Iran right now. One of the keys to keeping this premier rogue nation in check will involve maintaining healthy ties to its neighbors, and one of its most important neighbors is Oman. Congress, in fact, has a chance to do something right now to improve our relationship with this critical country: It can approve the Oman Free Trade Agreement as soon as possible.
Oman certainly isn’t one of the biggest countries in the world. Actually, it’s one of the smallest. Only about three million people live there--that’s just a little bit more than the number of folks who reside in Chicago.
Yet Oman also happens to occupy one of the most strategically important spots on the planet. Located in the northwest corner of the Arabian Peninsula, it guards the Strait of Hormuz--the narrow passage where the Persian Gulf meets the open ocean. About 40 percent of the world’s oil travels this channel. It is one of the world’s most vital arteries.
Although the Oman FTA includes substantial economic benefits for the United States, the most important reason for supporting it goes right back to the simple facts of geography.
If you think gas prices are outrageously high right now, image how high they’d soar if Iran, whose coastline also touches the Strait of Hormuz, were to decide to close this passageway. The Iranian government has said that it wants to keep commerce flowing through the strait, but it has pointedly refused to rule out extreme measures if it feels threatened. If the International Atomic Energy Agency reports Iran’s nuclear provocations to the U.N. Security Council on March 6, I would not be shocked to hear Iran announce that it feels threatened
It would be foolish to suggest that the approval of a trade agreement will have much influence over Iran’s behavior. But passage of a free-trade pact definitely will influence Oman’s behavior--and Oman is a friend we will need to have if there’s ever a confrontation with Iran. The closer our two countries become through commerce, the more we will see our security interests converge.
The best news is that the Oman Free Trade Agreement is worth passing in its own right, regardless of all the foreign-policy considerations that make its success imperative. Two-way trade between the United States and Oman totaled $748 million in 2004, including $330 million in U.S. exports. Automobiles, machinery, and medical equipment made up a good share of this total.
Following ratification of the deal, these exports would grow and new opportunities also would arise. That’s because the agreement would lift tariffs on all consumer and industrial products right away, as well as on 87 percent of agricultural tariff lines.
Our farms exported $20 million in goods to Oman in 2004, mostly vegetable oils, sugars, sweeteners, and beverage bases. Granted, that’s not a lot of money--it’s only a little bit more than the amount Roger Clemens made as a pitcher for the Houston Astros last year--but in a largely duty-free environment, this figure is bound to go up.
Increased contact with the West has already had a positive effect on Oman: Three years ago, it passed a new labor law that repealed a ban on strikes (an essential feature of workers’ rights) and prohibited the firing of female employees due to pregnancy or maternity leave (a worthwhile victory for women).
President Bush has discussed how a Middle East Free Trade Initiative will continue to liberalize the region. That’s a major reason why Congress has approved trade deals with Jordan, Morocco, and, most recently, Bahrain. Our lawmakers should now pass the agreement with Oman, so that our negotiators can move on to the United Arab Emirates (next in the pipeline) and other nations as well.
No doubt the Iranians are hoping we fail.
Dean Kleckner is an Iowa farmer and past president of the American Farm Bureau. He chairs Truth About Trade and Technology (www.truthabouttrade.org) a national non-profit based in Des Moines, IA, formed and led by farmers in support of freer trade and advancements in biotechnology.
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