Central American Free Trade Agreement (CAFTA), so far has resisted that demand. He has argued the Peru pact's current labor provisions are consistent with the guidelines Congress set down for trade agreement in 2002. "It is not too late to change this pact for the better," Rep. Charles Rangel, the top Democrat on the House Ways and Means Committee, said in a statement. "If President Bush wants broad congressional support for this FTA, USTR will accept President Toledo's offer to include basic labor standards in the text of the agreement." Like CAFTA, the Peru pact requires Lima to enforce its existing labor laws or face possible fines. USTR argues that is adequate because Peru has a good labor law regime as the result of a 2003 reform. But many Democrats disagree. The next step in the U.S. approval process would be for the Bush administration to formally submit the agreement to Congress. Once that happens, lawmakers would have 90 days to vote yes or no on the pact without making changes. It's unclear how eager Republican leaders are to take up the agreement before the November congressional elections. The United States has recently concluded a free trade pact with Colombia and is trying to finish one with Ecuador.
