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	Introduction Strategic Objective #1: Strategic Goal 1 Strategic Goal 2 Strategic Goal 3 Strategic Objective #2: Strategic Goal 4 Strategic Goal 5 Strategic Goal 6 Strategic Goal 7 Strategic Objective #3: Strategic Goal 8 PART Status
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V. Performance Results (continued)

ANNUAL PERFORMANCE GOAL 2 — Increased Trade and Investment Achieved through Market-opening International Agreements and Further Integration of Developing Countries into the Trading System.

I/P: Create Open and Dynamic World, Regional and
National Markets

INDICATOR: Status of Negotiations on Open Markets for Services, Trade, and Investment

	Outcome
JUSTIFICATION: These agreements expand the international framework to create a dynamic, free and open trade system, which contributes directly to the prosperity of the United States.
FY 2006 PERFORMANCE	Target	World Trade Organization (WTO) Doha round and Free Trade of the Americas negotiations completed. Andean Countries Free Trade Agreement (FTA) and South African Customs Union (SACU) implemented. Two FTAs concluded. Central American Free Trade Agreement (CAFTA), Dominican Republic, Morocco and Australia FTAs enter into force. Three new Bilateral Investment Treaties (BITs) concluded.
	Results	WTO and FTAA negotiations were not completed. Implementation of Andean Countries Free Trade Agreement progressing; South African Customs Union postponed. Two FTAs concluded. Oman FTA ratified. Korea and Malaysia FTAs launched. CAFTA, Bahrain and Morocco FTAs entered into force. The Australia FTA went into force in January 2005 (see below). Three new BITs concluded.
	Rating	Below Target
	Impact	Although the suspension of the Doha Round will hinder U.S. efforts to open markets, excellent progress was achieved on liberalizing trade and opening markets through free trade agreements and bilateral investment treaties. Trade Promotion Authority is scheduled to expire in mid-2007, so the Department will make every effort to restart the Doha Round in FY 2007.
	Reason for Shortfall	The WTO Doha Round was suspended due to lack of agreement on major issues. The United States prioritized expanded agricultural market access, the EU tried to link agricultural subsidy and tariff reductions to cross-sector reciprocal improvements in market access for manufactured goods and services, and developing countries sought the elimination of agricultural subsidies and industrial tariffs.
	Steps to Improve	At the December 2005 WTO ministerial in Hong Kong, WTO members were able to set 2013 as the date to end agricultural export subsidies and agree to a number of important development initiatives. Expanded market access, particularly in agriculture, is key to a final agreement. In Hong Kong, the U.S. announced a doubling of annual trade-related assistance from $1.34 billion in 2005 to $2.7 billion by 2010. The U.S. is the largest single-country donor of trade capacity building assistance, which helps countries build the necessary legal, administrative, and physical infrastructure to participate fully in the market openings that will be created by a successful conclusion of the Doha Round.
PERFORMANCE DATA	Data Source	Information from Department of State and U.S. Trade Representative (USTR) negotiators.
	Data Quality (Verification)	Data on the status of the Doha Round is publicly available and widely reported. Details are available through WTO and USTR. Information is vetted by trade and investment officers at the Department of State and is publicly available.
PAST PERFORMANCE	2005	Doha Round progressing with members actively engaged in negotiations. Negotiations with Pakistan underway; initial consultations held with Saudi Arabia and Algeria. Negotiations continued on free trade agreements with Andean countries, Oman, and United Arab Emirates.Central American-Dominican Republic FTA and Bahrain enactment expected. Australia FTA entered into force January 2005. Morocco FTA entry into force expected. U.S. and EU regulatory agencies work to share information and harmonize regulatory systems.
	2004	Successful WTO Doha Round framework agreement July 2004. One BIT, with Uruguay, concluded by October 2004. Concluded 4 FTAs (Australia, Bahrain, Morocco, Central America). Free Trade Agreement of the Americas negotiations continued. Launched FTA negations with Thailand, countries of the Andean region, and Panama.
	2003	Two FTAs (Chile, Singapore) concluded. WTO and FTAA negotiations continued. FTA negotiations began with CAFTA, Morocco, SACU, and Australia.

INDICATOR: Number of Countries Allowing Commercial Use of Agricultural Biotechnology
and Global Acreage of Biotech Crops under Cultivation

	Output
JUSTIFICATION: Countries that commercialize biotechnology-derived crops are most likely to permit entry of biotechnology-derived products from other countries.
FY 2006 PERFORMANCE	Target	Three more countries commercialize agricultural biotechnology. Acreage of agricultural biotechnology crops increases 12 percent.
	Results	In CY 2005, four additional countries planted biotech crops. Portugal and France resumed planting of biotech corn in 2005, while the Czech Republic planted it for the first time; this brings the total of EU countries commercializing biotech corn to five. In Iran, biotech rice was grown in 2005 by several hundred farmers, who initiated commercialization and produced seed supplies for full commercialization in 2006. Based upon full year data for CY 2005, agricultural biotech acreage was trending at a 15-20% rate of growth in the first 3 months of FY 2006.
	Rating	On Target
	Impact	Global acreage continues to grow at a tremendous rate. More than 90 percent of farmers benefiting from biotech crops now reside in the developing world.
PERFORMANCE DATA	Data Source	Statistics gathered by the International Service for the Acquisition of Ag-biotech Applications, the internationally recognized source for information on the commercialization of crops derived through modern biotechnology.
	Data Quality (Verification)	Information is publicly available, gathered through primary data collection, and cross-referenced by economics officers with other sources for accuracy.
PAST PERFORMANCE	2005	Based upon full year data for CY 2004, ag biotech acreage was trending at a 15-20% rate of growth in the first 3 months of FY 2005. China nears commercialization of biotech rice variety. French farmers plant biotech corn in relatively large quantities for the first time. The Spanish interministerial biotechnology commission approved Roundup Ready biotech corn seed for cultivation in Spain.
	2004	Australia approved commercialization of transgenic canola, Malaysia and Thailand took initial steps toward commercializing agricultural biotechnology. Growth grate for CY 2004 was 20% which includes first quarter of FY 2005.
	2003	The Philippines commercialized agriculture-biotech, and Brazil approved the sale of agriculture-biotech. Biotech acreage continued to expand.

INDICATOR: Progress in WTO accession in USAID-Assisted Countries

	Output
JUSTIFICATION: Participation and membership in the WTO indicates a commitment to trade and its economic benefits and an active engagement with other countries regarding trade agreements and integration.
FY 2006 PERFORMANCE	Target	15 USAID-assisted countries in some level of WTO accession prior to full membership.
	Results	10 USAID-assisted countries at some level of WTO accession prior to full membership.
	Rating	Below Target
	Impact	WTO accession means access to markets is more open and predictable, developing country commercial law regimes are aligned with international norms, the international rule of law is expanded, transparency and economic governance is improved, and opportunities for corruption are reduced.
	Reason for Shortfall	The explanation for this program’s shortfall is pending and will be obtained once the final FY 2006 results are reported.
	Steps to Improve	The necessary steps for this program’s improvement are pending and will be obtained once the final FY 2006 results are reported.
PERFORMANCE DATA	Data Source	Preliminary result data from USAID operating units.
	Data Quality (Verification)	The Agency’s performance data are verified using Data Quality Assessments (DQA), and must meet five data quality standards of validity, integrity, precision, reliability and timeliness. The methodology used for conducting the DQAs must be well documented by each operating unit. (For details, refer to USAID’s Automated Directive System [ADS] Chapter 203.3.5, http://www.usaid.gov/policy/ads/200/203.pdf).
PAST PERFORMANCE	2005	14 USAID-assisted countries at some level of WTO accession prior to full membership.
	2004	29 USAID-assisted countries at some level of WTO accession prior to full membership.
	2003	Baseline: 28 USAID-assisted countries at some level of WTO accession prior to full membership.

I/P: Support for U.S. Businesses

INDICATOR: Number of Companies for Whom Advocacy Services Were Provided; Number of Commercial Advocacy Successes in Helping U.S. Companies Win Foreign Tenders; Enforce Contract Agreements; Gain Fair Treatment; and/or Enter new foreign Markets

	Output
JUSTIFICATION: This indicator measures the direct support provided to U.S. business in exporting goods and services as well as managing overseas investments.
FY 2006 PERFORMANCE	Target	Advocacy services provided for 195 companies. 95 advocacy success stories.
	Results	For the first 8 months of FY 2006, provided advocacy services for 274 companies and generated 44 advocacy success stories.
	Rating	On Target
	Impact	Advocacy support ensures transparency and fair play so that U.S. companies can compete on a level playing field.
PERFORMANCE DATA	Data Source	Information from U.S. businesses, the Bureau of Economic, Energy, and Business Affairs Advocacy Databases, and Department of Commerce Advocacy Center Databases.
	Data Quality (Verification)	Reliability and completeness of performance data is ensured through primary collection of data and extensive cross-referencing by economics officers with other sources where necessary.
PAST PERFORMANCE	2005	Advocacy services provided for 386 companies. 44 advocacy success stories.
	2004	Advocacy services provided for 152 companies. 48 advocacy success stories.
	2003	Advocacy services provided for 125 companies. 45 advocacy success stories.

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