Andean Community Free Trade Agreement

In accordance with the commitments of the N56 Economic Complementarity Agreement, Argentina, Brazil, Paraguay and Uruguay (MERCOSUR member countries), as well as Colombia, Ecuador, Peru and Venezuela (Member States of the Andean Community) signed the N59 Agreement on Economic Complementarity on 18 October 2004. The aim of this agreement is to create a free trade area by expanding and diversifying trade and eliminating tariff and non-tariff barriers. On 4 June 2013, the trade agreement was submitted for approval to the Colombian President. On 26 July 2013, the European Commission announced that the EU-Colombia trade agreement will enter into force on 1 August. The second phase of negotiations for the creation of a free trade area between the Andean Community and MERCOSUR began in April 2001. On 6 December 2002, the contracting parties of MERCOSUR and the Member States of the Andean Community signed a framework agreement for the creation of a free trade area. This agreement was registered with the ALADI secretariat as an economic supplement agreement N 56 (ACE56). Through this agreement, the Andean Community and the MERCOSUR countries confirmed their intention to create a free trade area by 31 December 2003. They also indicated that the free trade agreement between Bolivia and MERCOSUR (this agreement, which was registered to the ALADI secretariat as the Economic Complementarity Agreement (ACE) N36, will be signed on 17 December 1996) will remain in force on 17 December 1996. In 2005, Venezuela decided to join Mercosur.

At first, Venezuela`s official position appeared to be that mercosur membership would allow further steps to be taken towards the integration of the two trading blocs. [Citation required] CAN Secretary General Allan Wagner said Venezuelan Foreign Minister Ala Rodriguez had said Venezuela had no intention of leaving the CAN and that its simultaneous membership of the two blocs marked the beginning of their integration. [9] Peruvian Foreign Minister Manuel Rodriguez, whose country holds the rotating presidency of the CAN, called the agreement “not the most important step towards Latin American integration” and “a decisive step towards the creation of a South American community.” The first round of negotiations took place in Bogota on 17 September 2007.

This entry was posted in Uncategorized by admin. Bookmark the permalink.