Mr. SCHIFF. Mr. Speaker, on October 7, 2002, the U.S. House of Representatives passed by a voice vote H.R. 5385, The Miscellaneous Trade and Technical Corrections Act. H.R. 5385 included provisions of H.R. 5002, which amends the United States-Israeli Free Trade Area Implementation Act of 1985 to allow for the designation of Israeli-Turkish qualifying industrial zones.
Designation of Turkish qualifying industrial zones will dramatically expand Turkish access to U.S. markets through duty-free exports to the United States.
As someone who believes that free and fair trade provides great opportunities and benefits to the American people, I have supported a number of free trade agreements during the past two years. We live in an increasingly global economy and our future progress depends on our ability to take advantage of that fact. However, we must also make sure our trading partners adhere to the rules of fair play.
Unfortunately, this legislation would reward Turkey, despite its nine-year illegal blockade of Armenia, which, according to World Bank estimates, has cost Armenia between $500 and $720 million annually. These figures, which represent one quarter to one third of Armenia's entire economic output, are staggering.
Turkey's blockade has also taken a human toll on Armenia's three million population. As a result of the blockade, hundreds of thousands of Armenians have been forced to leave their country and many of those that have remained have been forced into poverty.
Instead of rewarding one ally to the detriment of another, we should continue to press Turkey to end its blockade and establish formal diplomatic and trade relations with its neighbor to the east. We should also seriously consider a meaningful bilateral trade agreement with Armenia. Such a mutually-beneficial trade agreement would not only help strengthen Armenia's economy, but will increase the demand for American products. U.S. companies and joint ventures working in Armenia are primary sources of demand for U.S. goods and services in Armenia.
In order to make sure that free trade is also fair trade, one trading partner should not be allowed to impede the economic well being of another trading partner. We cannot and should not adopt a trade policy that simply undermines our commitment to an ally, such as Armenia, which during the past decade has adopted a free market economy and has implemented critical reforms in trade and monetary policy. banking and property rights.
We can take full advantage of trade opportunities without placing our nation and others in a race towards the lowest common denominators. H.R. 5385 falls far short of our resolve to help allies such as Armenia and the other former Soviet republics become full partners in the global economy.