Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
Chile's President Sebastian Pinera delivers a speech during the closing ceremony of the CELAC-EU summit in Santiago/AFP


LatAm, Europe back free trade, eye strategic alliance

Chile's President Sebastian Pinera delivers a speech during the closing ceremony of the CELAC-EU summit in Santiago/AFP

Chile’s President Sebastian Pinera delivers a speech during the closing ceremony of the CELAC-EU summit in Santiago/AFP

SANTIAGO, Jan 28 – European and Latin American leaders have pledged to shun protectionism and boost their strategic partnership to foster free trade and sustainable development based on close international cooperation.

Some 60 countries are represented at the summit between the 27-member European Union and the Community of Latin American and Caribbean States, or CELAC.

Set up in Caracas in December 2011 at the behest of Venezuela, CELAC groups all nations from across the Americas except the United States and Canada and aims to boost regional trade and integration.

Chilean President Sebastian Pinera, the two-day summit’s host, opened the session Saturday with a call for a new “strategic alliance to achieve sustainable development.”

And indeed participants unanimously adopted a summit statement extolling their “strategic partnership to achieve sustainable development.”

They also reiterated their commitment “to avoid protectionism in all its forms” and to “favor an open and non-discriminatory, ruled-based multilateral trade system.”

“We firmly reject all coercive measures of unilateral character with extra-territorial effect that are contrary to international law and the commonly accepted rules of free trade,” the statement said.

The leaders also pledged to continue working together “toward a new international financial architecture.”

And they backed concrete actions to bolster law enforcement cooperation “to dismantle criminal organizations, all within the full respect of human rights and international law.”

There was also support for the convening of a special UN General Assembly session on the global drug problem.

Advertisement. Scroll to continue reading.

The leaders also gave a nod to “the universality and indivisibility of human rights as laid out in the Universal Declaration of Human Rights.”

It was the seventh summit between the two blocs but the first since the creation of CELAC. The two sides agreed to hold the next EU-CELAC summit in Brussels in 2015.

The EU is the biggest outside investor in Latin America, accounting for three percent of direct foreign investment in CELAC or $385 billion in 2010.

EU officials noted that the figure exceeds the combined investment in China, Russia and India.

“We need a strong political commitment to rein in protectionism and promote liberalization,” European Commission President Jose Manuel Barroso told a meeting of business chiefs leaders shortly before the political summit’s opening.

Powerful German Chancellor Angela Merkel, whom the Chilean press has dubbed “Europe’s boss,” called for “cooperation without barriers to trade.”

“The dynamic development of this entire region shows that we, within the EU, must strive to ensure we are not left behind, to improve our competitiveness, reduce our debt. We cannot live on the backs of future generations,” she added.

The Europeans are particularly keen on securing the speedy conclusion of a free trade pact between the EU and the South American trading bloc Mercosur.

Negotiations have so far stumbled over differences on agriculture — notably Europe’s subsidies to its farmers, which undermine Latin America’s efforts to sell its own products.

Advertisement. Scroll to continue reading.

Pages: 1 2

Click to comment

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...


NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...


NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...


NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...


NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...