Brussels, 19/05/2008 (Agence Europe) - The 5th EU/Latin America and Caribbean summit on 17 May in Lima created a lot of expectations on trade, particularly the chapter on Doha Round multilateral negotiations, which is in an impasse partly because of the differences between the EU and big emerging Latin American countries like Argentina and Brazil. There were also expectations about the bilateral EU and Andean Community negotiations, which have been upset by divisions with in the Andean block itself. The conference's rather mixed results ultimately do not provide many prospects for a trade agreement in the short term.
Doha negotiations - Europeans and South Americans did not succeed in reducing their divergences on agriculture and its market access chapter (sensitive and tropical products) or on the access chapters on the industrial market and services. They found it difficult to conceal their persisting disagreement. On the surface, the two sides in their final declaration reaffirm their, “commitment to the timely and successful conclusion of the WTO Doha Development Round and reiterate our willingness to reach an ambitious, comprehensive and balanced outcome” at the next ministerial meeting of the WTO, which will constitute a, “key opportunity to move rapidly towards the conclusion of the Doha Development Agenda”. Behind the scenes, however, the persisting disagreement is palpable. A lengthy meeting at the summit between trade Commissioner Peter Mandelson and the Argentinean minister for foreign affairs, Jorge Taiana, did not help dissipate these differences. The Commissioner for external relations, Benita Ferrero-Waldner, attempted to tone things down to the press, “having differences on the issue of the Doha Round does not mean that negotiations and our meeting were not good”. Mr Mandelson was more incisive, “The ambition and level of offers tabled by our Latina American grading partners have not matched the offers that have been tabled by the EU. Now, unless that is rectified, these negotiations are going to take longer than they need to…It will be a major missed opportunity if we do not accelerate our negotiations and engage more intensively in the months to come”.
EU/Mercosur negotiations - European and Mercosur leaders (Argentina, Brazil, Paraguay, Uruguay and Venezuela) were happy enough to confirm their commitment to relaunching discussions for a free trade agreement once the Doha Round result is known. In a joint declaration, the different parties point out the, “importance of reaching an ambitious and balanced Mercosur-European Union Association Agreement and reiterated their commitment to carry negotiations through to a successful conclusion, as soon as conditions permit, on the basis of the work already done”. They also highlight their “commitment to the Doha Round and stressed their political interest in coming together towards an ambitious and balanced agreement”.
EU/Andean negotiations - European leaders and those and Andean countries (Bolivia, Colombia, Equator and Peru) finally agreed on the principle of country by country negotiations, due to the lack of an agreement within the Andean block - divided between supporters of an association agreement (Colombia and Peru) and those opposed to it (Bolivia and Equator). Noting the progress already accomplished after three negotiations sessions and confirming the determination of the parties to conclude the agreement by the end of 2009, the final declaration of the EU/ALC summit reaffirmed the EU's desire to negotiations with the Andean community as a united block, “We welcome the determination of the Andean community and EU to make all efforts to conclude an Association agreement, which contributes to the further development of the Andean integration process. We agree that particular attention will be given to the specific development needs of the Member Countries of the Andean community, taking into account the asymmetries between and with the regions and the need for flexibility, as appropriate, from the part of the EU””.
EU/Central America negotiations - European and Central American countries (Costa Rica, El Salvador, Guatemala, Honduras, Panama and Nicaragua) welcomed the efforts made to reach an association and free trade agreement between the two blocks. They pointed out the importance of regional integration and welcomed the positive results achieved so far. The two parties welcomed the fact that Panama had formally decided to join the process of regional economic integration. They also took formal note of the progress accomplished after three negotiations sessions and confirmed their wish to concluded discussions by the end of 2009.
EU/CARICOM - European leaders and those from the Caribbean Forum (Antigua-and Barbuda, Bahamas, Barbados, Dominica, Dominican Republic, Grenada, Guyana, Haiti, Jamaica, Saint Lucia, Saint Vincent and Grenada, Saint Kits and Nevis, Suriname and Trinidad and Tobago welcomed the completion of negotiations and the Economic Partnership Agreement, initialled on 17 December 2007.
EU/Chile Europeans and Chileans welcomed the significant progress in bilateral trade (+250%) since the entry into force of the association agreement in 2003. Nevertheless, they did express the wish for depending the agreement through improved market access to goods and services.
EU/Mexico - The different parties welcomed the dynamism of the trade and investment exchanges since the entry into force of the FTA in 2005. Bilateral trade reached $50 billion US in 2007. they also underlined their wish to renegotiate the FTA revision clauses on agriculture, services and investment. (HE.)