EU-Latin America summit vows no protectionism
Thursday, 20 May 2010
MADRID, May 19 (AFP): The European Union and countries of Latin America and the Caribbean pledged to avoid protectionism at a summit yesterday, as the bloc and several Central American nations reached their first free trade deal.
"We remain determined to favour an open non-discriminatory, rules-based multilateral trade system and fully respect its disciplines," the government leaders and representatives said in a final statement at the Madrid meeting.
"We are committed to avoid protectionism in all its forms."
They also pledged cooperation "to confront the global consequences of the economic and financial crisis and avoid a return to a crisis of this type.
"In this context we confirm our commitment to work together for a new international financial framework that includes the reform of financial institutions."
Spain, which has close ties with its former colonies in Latin America, hoped the summit would be a high point of its six- month presidency of the European Union, which runs through June.
As the conference formally opened, the EU and Central American nations of Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama announced their first ever trade deal.
"The trade ministers of Central America and the EU express their full satisfaction with the outcome, which will result in an ambitious, comprehensive and balanced trade pillar of the Association Agreement," both sides said in a statement early Tuesday.
The negotiations are to be formally concluded by EU and Central American leaders at their summit meeting on Wednesday.
The deal envisages "100 per cent market opening for industrial products on both sides" and export quotas for milk powder and cheese from Europe and for bananas, beef and rice from Central America, according to the European Commission.
European motor vehicles will also be given "free access to the Central American market over a period of 10 years."
El Salvador's cabinet secretary Alexander Segovia said the EU's "flexibility" led to the deal.
"There was a show of flexibility by the European Union and with that we managed to get to an agreement," El Salvador television quoted him as saying from Madrid.
"We remain determined to favour an open non-discriminatory, rules-based multilateral trade system and fully respect its disciplines," the government leaders and representatives said in a final statement at the Madrid meeting.
"We are committed to avoid protectionism in all its forms."
They also pledged cooperation "to confront the global consequences of the economic and financial crisis and avoid a return to a crisis of this type.
"In this context we confirm our commitment to work together for a new international financial framework that includes the reform of financial institutions."
Spain, which has close ties with its former colonies in Latin America, hoped the summit would be a high point of its six- month presidency of the European Union, which runs through June.
As the conference formally opened, the EU and Central American nations of Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama announced their first ever trade deal.
"The trade ministers of Central America and the EU express their full satisfaction with the outcome, which will result in an ambitious, comprehensive and balanced trade pillar of the Association Agreement," both sides said in a statement early Tuesday.
The negotiations are to be formally concluded by EU and Central American leaders at their summit meeting on Wednesday.
The deal envisages "100 per cent market opening for industrial products on both sides" and export quotas for milk powder and cheese from Europe and for bananas, beef and rice from Central America, according to the European Commission.
European motor vehicles will also be given "free access to the Central American market over a period of 10 years."
El Salvador's cabinet secretary Alexander Segovia said the EU's "flexibility" led to the deal.
"There was a show of flexibility by the European Union and with that we managed to get to an agreement," El Salvador television quoted him as saying from Madrid.