Key Notes

The EU and Latin America

Background

Bilateral relations between the EU and Latin America date from the 1960s. But it is in the last three decades when relations between the two continents have undergone a massive quantitative and qualitative leap, reflecting the EU’s regard for the growing potential of the Latin American region as a key political and economic partner for the EU.

The two regions are connected by a whole series of political, historical, cultural and religious ties, which became even closer after Spain and Portugal joined the European project in 1986.

1. What is the EU doing in the region?

There are two frameworks for relations between the EU and the Latin American countries: firstly at bi-regional level and secondly through a whole series of specific and specialised dialogues at sub-regional level – with Mercosur, with the Andean Pact, with Central America – and with particular countries such as Chile and Mexico.

A complete network of different agreements has been concluded at each of these levels, based on three pillars: economic cooperation, institutionalised political dialogue, and strengthening trade relations.

The three most important fora for political dialogue are:
(a) the biennial summit of Heads of State and Government between the EU, Latin America and the Caribbean, which aims to promote and reinforce political, economic and cultural links and mutual understanding between the two regions, with a view to establishing a strategic global association geographically covering the whole region;
(b) the dialogue between the Rio group and the EU since 1986;
(c) the San José dialogue with the countries of Central America.

At the more specific level, the EU has developed special relations with:
Mercosur: set up in 1991 as the Common Market of the South, grouping Argentina, Brazil, Uruguay and Paraguay as a dynamic process resulting from regional integration. After the initial signing of an agreement to provide technical and institutional support, the EU is now at a very advanced stage of negotiating an ambitious economic and political association agreement.

Central America: the support given to the Central American region since 1984 through the San José ministerial dialogue for the democratisation of Central America has been complemented by the framework cooperation agreement signed in 1993.

In October 2003, as a result of the mandate given by the Madrid EU-Latin America summit of May 2002, the EU and the six Central American countries concluded negotiations on a new agreement on political dialogue and cooperation which was signed in Rome in December 2003.

Andean Pact, also known as the Andean Community
The EU has supported the process of Andean integration since the Cartagena agreement of 1969. The framework cooperation agreement also dates from 1993 and, as with Central America, the new agreement on political dialogue and cooperation was successfully negotiated between the EU and Venezuela, Colombia, Peru, Bolivia and Ecuador. The Central American and Andean countries enjoy preferential tariffs for a large proportion of their products imported into the EU, particularly those which replace the cultivation of illicit substances such as cocaine.

Mexico and Chile since 1997 and 2002 respectively have extremely ambitious agreements on economic association and political dialogue, which have been very rewarding in terms of economic, trade and political outcomes.

The EU also has a whole series of programmes to increase the region’s competitiveness, including one to support small and medium-sized enterprises (ALLINVERT) one on cooperation between chambers of commerce and industry (ATLAS) another on rational and improved energy use (ULURE), another based on information society technologies (ALIS) and several based on training and education (ALFA) or offering grants to Latin American students for postgraduate study in the EU.

The European Office for Humanitarian Aid is also continually helping displaced people who are victims of conflicts or natural disasters and providing emergency aid to areas that need it.

2. Role of the EPP-ED

The EPP-ED Group has played a very active role in all these measures. It has always supported and urged the Council and Commission to speed up negotiations of agreements with the various subregional groups or with specific countries, and to implement programmes, and its members have actively participated in discussion fora such as EU-LA summits, ministerial meetings of the Rio group and San José dialogue, or through European Parliament or EPP-ED Group delegations. The Group has also been very actively involved in elections when democratic assistance from the EU was requested (Mexico, Colombia, Peru, Ecuador, Guatemala, Nicaragua, etc).

The leading role played in drawing up annual budgets for the region has been no less important; members of our political group have been involved in this year after year.

In addition the adoption in November 2001 of the report by José Salafranca (EPP-ED Vice-Chairman) set a framework for relations with Latin America, laying down principles and guidelines underlying the bi-regional strategic association between the EU and Latin America.

3. Our objectives for the next parliamentary term

To sum up, our promise to the region will be to continue what has already been achieved, increasing the number and content of the agreements that have been negotiated, calling for conclusion of the Association Agreement with Mercosur within the planned deadline, paying attention to the various needs of the region and ensuring that these needs are met with corresponding budget appropriations, and always ensuring that expenditure is managed transparently and implemented efficiently and that full accounts are presented.

In addition, we propose setting up a bi-regional solidarity fund in the context of cooperation with Latin America to deal with exceptional circumstances such as natural disasters and other environmental problems which have unfortunately been such a common occurrence in the Continent’s history.

The EPP-ED will also undertake to be represented at and use its influence in every forum at which its presence could be useful in reinforcing relations with Latin America with a view to achieving the economic, political and social development of this partner region.