Who Loses in Central America?
For the two-thirds of the poor in Central America who live in rural areas and rely on agriculture for employment and food security, CAFTA could have a devastating impact. The treaty would require Central American nations to phase out tariffs on the basic staples of rice, beans, yellow corn and dairy products, on which the livelihoods of 5.5 million small- and medium-sized farmers depend. One need only look at post-NAFTA Mexico to see the future of Central America. Mexico now imports more than four times as much corn as it did when NAFTA kicked in. Nearly 2 million farmers have been forced off their land; 80 percent now live in poverty. Those who continue to grow corn now earn half of what they once received for their crop. Nor have Mexican consumers necessarily enjoyed savings at the market; the price of corn tortillas, for instance, has risen 50 percent or more.