Andean Pact Agreement

The andean group`s cooperation efforts initially led to a considerable increase in regional trade and industrial growth. However, in the 1980s, these positive trends were reversed. The policy of replacing local industrial products with imports has been costly. Internal economic inequalities have been exacerbated. Due to the fragility of the sly economies and the international economic crisis, regional trade has declined. The economic integration of the Andes has also suffered setbacks due to national conflicts of interest over tariffs, a border war between Ecuador and Peru and failures in the implementation of the pact policy. In 2006, Venezuela decided to withdraw from the group, citing discontent with bilateral free trade agreements signed with the United States by Colombia and Peru. Although progress has been made in achieving economic unity, the Andean Pact has had to overcome deep-rooted structural problems and regional conflicts since 2007. Ecuador`s accession negotiations to the trade agreement with Colombia and Peru were concluded in July 2014. Ecuador`s accession protocol was signed in November 2016 and has been on an interim basis since 1 January 2017. 21. See Andean Group: Treaty establishing the Court of Justice of the Cartagena Convention, 28 May 1979, 18 I.L.M 1203; Andean Group: Commission decision on the status of the Court of Justice of the Cartagena Convention, 19 May 1983, 23 I.L.M 422 (1984). An Andean Parliament made up of representatives of the national parliaments of the Member States was also created at that time, but its role was until now advisory and almost negligible in terms of its impact on effective decision-making within the Andean Pact.

Recently, with the new cooperation agreement with Mercosur, the Andean Community has gained four new associate members: Argentina, Brazil, Paraguay and Uruguay. These four Mercosur members were members of the Andean Council, which met with the Commission (the Andean Community) at an expanded meeting on 7 July 2005. This is in response to the measures taken by Mercosur, which has granted membership to all the nations of the Andean Community under the economic complementarity agreements (free trade agreement) signed between the CAN and the various mercosur members. [5] The Cartagena Convention of May 1969 created the Common Market Le Grupo Andino or the Andean market. The pact aimed to integrate the economies of Colombia, Ecuador, Peru, Bolivia and Chile. Venezuela joined in 1973, and Chile withdrew in 1976. The priority objective of the Andean Pact was to promote regional industrialization. To this end, it has adopted several innovative strategies: the removal of internal trade restrictions, the creation of a common external tariff, the development of sectoral programmes and the strict regulation of foreign investment. One of the concrete proposals for institutional reforms adopted by the five presidents of the Andean Pact in Quito last September is the restructuring of the Junta del Acuerdo de Cartagena into a general secretariat headed by a secretary general. With this amendment, it is hoped that some of the impasses that have emerged in the past, when the three-member junta has not been able to reach a unanimous agreement on how to implement the andean Commission`s decisions, can be avoided.