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Associated Press | By ADALID CABRERA LEMUZ | May 27, 2003

BRASILIA, Brazil - The top U.S. trade official arrived in Brazil Tuesday for two days of high-level talks aimed at advancing negotiations for the creation of a 34-nation free trade zone stretching from Alaska to Argentina.

U.S. Trade Representative Robert Zoellick was also expected to lay the groundwork for a White House visit in June by Brazilian (news - web sites) President Luiz Inacio Lula da Silva.

Zoellick was scheduled to meet with Brazilian finance minister Antonio Palocci, Vice President Jose Alencar and three other members of Silva's cabinet, the U.S. Embassy said.

Before arriving, Zoellick issued a statement saying that the talks in Brazil are an important step toward establishing the Free Trade Area of the Americas - a trading bloc that would be the world's largest, encompassing a market of $13 trillion and 800 million people.

"Bringing down hemispheric trade barriers, opening markets and promoting economic reform and integration offers the Western Hemisphere the best opportunity to promote hope, prosperity and freedom for all our peoples," Zoellick said.

His visit follows months of intense activity by Silva to strengthen South America's position at the bargaining table.

Brazil and other South American countries have repeatedly said that negotiations won't go far unless the United States makes commitments to reduce tariff barriers on agricultural products.

Brazil and the United States are heading the FTAA talks, but some Brazilian officials have said the South American trade bloc Mercosur - which Brazil leads - should clinch a trade agreement with the U.S. before an FTAA deal is reached.

Mercosur's other member countries are Argentina, Uruguay and Paraguay. Chile and Bolivia are associate members.

The United States wants to complete the FTAA negotiations by January 2005.

Silva, Brazil's first elected leftist president, is scheduled to meet June 20 with U.S. President George W. Bush (news - web sites) in Washington. The two met for the first time on Dec. 10, three weeks before Silva's inauguration.Associated Press: