Transcript Document
H. E. José Luis Bernal R.
Ambassador of Mexico in Korea
September 2nd, 2014
THE PACIFIC ALLIANCE AND ITS OBJECTIVES
The Pacific Alliance is a regional
integration initiative whose member states
are Chile, Colombia, Mexico and Peru. The
Pacific Alliance was created on April 28,
2011 with the Declaration of Lima.
Its objectives are:
1.To build, in a participatory and consensual
manner, an area of deep economic integration
and to move gradually toward the free
circulation of goods, services, capital and
persons.
2.To promote the larger growth, development
and competitiveness of the Parties’
economies, aiming at achieving greater
welfare, overcoming socio-economic inequality
and achieving greater social inclusion of their
inhabitants.
3. To become a platform for political
articulation, and economic and trade
integration, and project these strengths to the
rest of the world, with a special emphasis on
the Asia-Pacific region.
STRATEGIC VALUE
Pacific Alliance is a strategic platform because:
It looks for the deep integration of services, capital,
investment and movement of people.
It is an open and non-exclusive integration process,
consisting of countries with related visions of development,
and that promote free trade as a driver for growth.
It is a dynamic initiative with high business potential.
It is focused on modernity, pragmatism and political will to
establish an initiative to address the challenges required by
the international economy.
It offers competitive advantages for international business,
with a clear focus on the Asia-Pacific region.
OUR STRENGTHS
As a whole, the Pacific Alliance constitutes the 9th
largest economy and represents the 7th largest
exporting entity worldwide.
In Latin America and the
Caribbean, the block represents:
1.9 US trillion combined GDP,
40% of the region’s GDP,
3.8% added GDP growth in 2014
50% of total trade,
41% of direct foreign investment,
$70 US billions of DFI in 2013
The four countries total a population of 212
million people with an average GDP per
capita of $13,000 US dollars.
The average rate of unemployment
in Alliance countries is 7% .
ECONOMIC STRENGTHS
The four countries in the Alliance enjoy
strong economic stability.
OPEN TO FREE TRADE
Member States maintain a network of trading
arrangements among themselves and with Asia, Europe,
and North America covering more than 50 countries.
22 Trade Agreements
60 Countries
15 Trade Agreements
62 Countries
19 Trade Agreements
52 Countries
17 Trade Agreements
50 Countries
COMPETITIVE ADVANTAGES
The Pacific Alliance has competitive advantages, in the
following industries:
Mining,
Forestry,
Energy,
Agriculture,
Automotive,
Fishing and
Manufacturing.
It also
promotes
the
exchange of
investment,
innovation
and
technology
with the
world.
AN EFFECTIVE COOPERATION ENVIRONMENT
The Pacific Alliance Promotes Innovative Initiatives in
Areas such as:
Preservation and respect for the environment.
Creation of a network of scientific research on climate change.
Academic and student exchange.
Cultural promotion.
Integration of securities markets.
Opening of joint commercial offices and participation in fairs and exhibitions.
Improved competitiveness and innovation of Small and Medium Enterprises.
Tourism.
INSTITUTIONAL STRUCTURE
The Presidents of the four countries are in
the senior organ of decision in the process.
They meet at the Alliance Summits.
The Council of Ministers, formed by the
Foreign Trade Ministers and Foreign
Ministers, is responsible for adopting
decisions to develop specific objectives and
actions.
The High-Level Group (HLG), formed by
Vice-Ministers of Trade and of Foreign Affairs,
responsible for the oversight of the work of the
technical groups, the evaluation of areas in
which progress could be made and the
preparation of a proposal for the projection
and external approaches to other regional
organizations or groups, especially in the Asia
Pacific.
Technical groups and subgroups, formed
by public servants in the four Member
Countries, responsible for negotiating
disciplines related to Pacific Alliance issues.
It was also decided that the Pro-Tempore
Presidency of the Alliance would be
exercised on an annual basis by its Members
in alphabetical rotation.
INSTITUTIONAL STRUCTURE
The Pacific Alliance has technical groups responsible for
a range of issues:
Trade and Integration.
Regulatory Improvement.
Public Purchasing.
SMEs.
Services and Capital.
Expert Commitee for the Pacific
Alliance Business Summit.
Intellectual Property.
International Tax Transparency.
People movement and migratory transit
facilitation.
External Relations.
Communications strategy.
Institutional Matters.
Cooperation.
TIMELINE
The Pacific Alliance evolution up to 2014:
MAIN INSTITUTIONAL ACHIEVEMENTS
Agreement on e-commerce to
strengthen, facilitate and promote the use
of technologies for the trade in goods and
services.
The Pacific Alliance Cooperation Fund.
The Student and Academic Mobility
Platform, granting scholarships to
students from the four countries to study in
one of the Member countries. In 2013, 256
scholarships were granted (227
undergraduate, 29 graduate).
Elimination of Visa requirement for:
A Joint Embassy of the four countries
was opened in Ghana; and a
Colombia/Chile Embassy was opened
in Morocco.
It is planned to open joint Embassies in
Algeria (Colombia-Chile), Azerbaijan
(Colombia-Chile), Singapore (ColombiaMexico) and Vietnam (Colombia-Peru).
A Scientific Research Network for
Climate Change.
- travelers from Colombia and Peru to
Mexico.
- business visitors from Mexico, Chile and
Colombia to Peru
- Colombia and Peru signed a
Memorandum of Understanding on
exoneration of Business Visas.
The joint Promotion Agencies Office in
Istanbul (Turkey) has been working for a
year.
There are plans to open other joint offices
in Casablanca (Morocco) and Bombay
(India).
ONE OF THE MOST OBSERVED INTEGRATION PROCESS IN THE
WORLD> 32 OBSERVER COUNTRIES
CARTAGENA SUMMIT 2014
On February 10th, 2014, in Cartagena, Colombia, leaders of the
Pacific Alliance issued a Declaration agreeing to the following:
Member countries signed the Additional Protocol
to the Alliance Framework Agreement which
immediately eliminated all tariffs on 92 percent of
goods (the rest will be gradual).
The Republic of Korea was accepted as an
observer member along with 13 other nations
(currently 32).
Costa Rica signed a Declaration of Intent to join
the Alliance Framework Agreement and began the
path to full membership.
An agreement that will provide mutual consular
assistance in countries where the any of members
don’t have a consulate.
Release of the Pacific Alliance Traveler’s Guide to
facilitate movement of persons.
PUNTA MITA 2014 SUMMIT
On June 19- 20, 2014, the 9th Pacific Alliance Summit took place at
Punta Mita, Nayarit, Mexico, with the participation of the Presidents
of Colombia, Chile, Peru and Mexico
The summit was preceded by an important
gathering of business people under the umbrella
of the Business Council of the AP (Macro Rueda
de Negocios).
32 observer countries sent representatives and
business delegations.
Mexico was handed over the Pro Tempore
Secretariat by Colombia.
The Punta Mita Declaration confirms the
member´s commitment with the ongoing
integration process, with openness and
international collaboration.
PUNTA MITA AND THE PRIORITIES FOR 2014-2015
With the Declaration of Punta Mita, the leaders of
the Pacific Alliance agreed to focus their
combined efforts in the following priorities:
Deepening the integration process
Completing de incorporation of new
members
Improving relations with observer countries
(32) and with relevant international
organizations (OECD, IDB, MERCOSUR,
CAF, UE, MIKTA)
Further developing relations with AsiaPacific countries.
Observer countries –particularly those in the Asia
Pacific region play a decisive role in this strategy.
As a general strategy,
The Pacific Alliance aims
at exploiting the great
potential existing in areas
such as competitiveness,
internationalization of
SME´s, export promotion,
and the further integration
of small and medium-size
companies in regional and
global value-chains.
Additional areas include
cooperation on:
entrepreneurship,
innovation, agriculture,
mining, infrastructure,
health services, sports,
educational exchanges
and others.
OTHER LANDMARKS
On April 2, Panama signed an FTA with Mexico,
allowing the country to enter the Alliance since it
already has pacts with the other members. (Colombia’s
Congress must approve the FTA before Panama can
integrate to the bloc.)
On May 5, President Laura Chinchilla signed a free
trade agreement (FTA) with Colombia, completing
the requirement that members have bilateral FTAs with
each Alliance country.
A New Strategic Alliance between Mexico and Peru
was launched in July, 2014.
On August 20, Mexico became part of the
Integrated Latin American Market (MILA), a stock
Exchange integration platform used by Colombia,
Chile, Mexico and Peru with no merger or corporate
integration of members.
The time is ripe for Korean Companies to
seriously evaluate the multiple benefits of
being actors in this success story.
Thank You.