Transcript Document

Europe and Latin America
TO THE SEARCH OF NEW MODELS? FROM
DEPENDENCY TO INTERDEPENDENCY.
From colonization to independence
 Latin America’s incorporation to the world-the
beginning of subordination and plunder of resources
 Colonial relationships: race and ethnicity, the
other/inferiority/imitation
 Economic dependency political and cultural
dependency
 Independence-neocolonialism
70-80s: a new profile
 70s-multipolarism and détènte: Social democracy as
a new alternative searching for new partners and
influence among political parties in LA
 Inter-parlamentarian contacts and regular meetings
 80s-bipolarisation in Central America searching
for a mediation role France, Germany and Sweden
Central America: a test for multi-polarity
 1981 Resolution Mexico-France on El Salv
 1982-Nicaragua- assistance offers from
Europenegative reactions from the USEC gives
in and goes back to a low profile
 Contadora group’s support to peaceful solutions
 Falklands-re-polarization-EC+ US vs LA
 Sn Jose’s process- support to Arias Plan
Rio’s dialogue since 1990
 Political dialogue between two continents
 Development of differentiated relations
following regional groups, development
levels and political/economic interests
 3rd generation agreements: conditionality
clauses on democracy, human rights and
structural economic reforms
 Neo-liberalization and the end of
alternatives?
Sub-regional differentiated treatment: 90s
Andean group –preferential agreements
and cooperation projects demands of
strategies to fight coca production
 Central America: development assistance,
framing small/middle peasant productionmarked orientated networks of support
 Mercosur – frame agreements and direct
support to regional economic integration
cooperation and open path for free trade
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Privileged relations
 Mexico: Economic partnership,
political coordination and cooperation
agreement, FTA entered into force
2000.
 Chile: Association Agreement 2002entered into force 2005towards a free
trade area
The survival of colonial links: bi-continental summits following
Spain and Portugal’s presidencies
 Rio 1999-strategic association and Action plan
 Madrid 2002- to increase cooperation in 3 areas: hum.r., promotion of
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the information society and struggle against poverty
Main goal-human developm and the strengthening of civil society
Guadalajara 2004: intensifying the struggle against drugs, agreements
on reg cooperation
Lima maj 2008,
May 2010 in Madrid “Towards a new stage in the bi-regional
partnership: Innovation and Technology for sustainable development
and social inclusion”
Jan 2013: EU-CELAC meeting in Santiago, Chile: Alliance for
Sustainable Development to Promote Investments of Social
and Environmental Quality
Madrid May 17-18, 2010
 LAC: very divided politically/ideologically
 Honduras as a divider: boycott (UNASUR), but also
the Cuban issue
 Finally Venezuela and UNASUR attended, not
Honduras (only to the CA-UE summit: May 19)
 What happened with the strategic alliance project of
1999?
Civil society
 Civil society’s organizations- NGOs-
following already existing trade agreements:
Europe-Mexico-1st meeting Brussels-2002,
Mexico 2005, Vienna 2006: discussion,
reports and accountability
 EU-Andean countries-NGOs forum-March
2005-Brussels
 In all summits: parallel NGOs meetings
Trade
 EU- second regional associate of LA after the
US but losing importance to China in South
America
 2011: 214 bill euros: 6,5% of EU’s total trade
 Effects of EC-EU’s enlargement on EU-LA’s
relations
 Exchange structure: typical developeddeveloping countries (industrialized
products vs raw materials) with the
exception EU-Mexico
LA’s share in EUs imports (percent)
1965
1970
1980
1990
2004
100
100
100
100
100
Within 46
EC-EU
51
57
61
30.9
LA
4.2
2.9
2.1
5.2
world
5.3
LA’s share in EU’s exports
(percent)
1965
1985
1990
2004
LA
6.4
4.1
2
3.6
Total
100
100
100
100
2009: EU’s trade with LAC
EU-LA trade up to 2012
EU’s imports and exports: origin
and destination 2004 (percent)
Partner regions imports
exports
NAFTA
58.8
89.4
Latin America
5.2
3.6
EU candidates
0.1
0.0
EFTA
0.5
0.1
Medit countries 0.3
0.1
ASEAN
0.2
4.2
LA: exports structure
1990
1999
Raw materials 43%
+energy
manufactures 57%
23%
64%
EU’s imports and Mercosur
 Raw materials + energy (in % of all imports):
 1965: 45 %
 1990: 24%
 1995: 55% of all Mercosur’s exports to EU raw
materials and energy
 2005: 21.2%
EU-Mercosur
 1995: Frame-agreement of cooperation and
association starts to be negotiated
 1999: Free trade agreement negotiations
startgoal 2006
 Association agreement: 2001: 3 pilars:
MNC/polit/trade
 Assistance/consultancy –for regional integration
 EU interested in telecommunication and financial
services
 Obstacles for FTA: EU’s CAP but advances since
Cancun
EU-Trade with Mercosur
EU imports from Mercosur
EU exports to Mercosur
EU trade with Chile
EU-Chile
 EU: Chiles biggest trade partner and biggest
investor
 Chile exports mainly minerals and agrifood
sectors
 Also liberalization in service sectors
The EU and the Andean countries
 Political dialogue and cooperation
agreement: 2003
 EU: leading donor of official development
aid to the Andean region, with €713 million
set aside
 June 2007: negotiations began on a new
Association Agreement bi-regional trade
and investment
Political Dialogue and cooperation agreements
A very broad program of cooperation at the
economic, political, social level focusing
strategically on the fighting of drugs
production and traffic
 Also: providing aid for e deepening of the
integration process within Andean countries
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Problems towards assoc agreements
 June 2007: negotiations began on a new
Association Agreement
 Several round negotiations (3) but the 4th
round to take place in Brussels in July 2008:
suspended
 Problem: agreements around intellectual
property, privatization of public services and
state licitations
Problems-negotiations with EU
 Division among Andean states: Colombia and Peru-
for bilateral agreements, Ecuador y Bolivia: bloc
negotiations and agreements
 Official announcement-mid nov: Colombia and Peru
continue the negotiations on their own, Ecuador
wants to follow
 Bolivia is isolated-insists on bloc negotiat
 Bolivia also enters bilateral negotiations
EU trade with the Andean community
EU exports to Andean Community
EU imports from the Andean C.
EU-Central America
 A relation based on development cooperation in the
1980s-1990s
 Upgrade to a trade relation: negotiations for an
Association agreement
 Problems in the negotiations: quotas, the entrance of
European milk’s products, rules of origin for CA’s
textiles, banana’s entrance to the EU plus migration
issues
 Signed is spite of all in Madrid May 2010
EU-CA 2006-2008
CA-EU
EU-México: FTA in 2000
 Signed in 1997- starts in 2000
 Elimin tariffs -48% for all ind product fr EU, 82%
for all Mex products to EU
 Goals: elimin of all tariffs for ind prod  2007
 No visible results in trade exchanges-stagnated
and big deficits for Mexico
 Investmentsrules rejected for MAI accepted by
Mexico (already-privatized banling system-mainly
European investments
 EU-Mex-FTA: a door for EUs products to the US
(NAFTA)
 Clause of democracy and HR-difficult to accept for
Mexico
EU’s trade with Mexico
Year
Export: % of tot
2001
Imports: % of
tot
0.78
2002
0.69
1.70
2003
0.69
1.64
2004
0.67
1.52
2005
0.76
1.58
1.71
Mexico’s trade with EU
Year
2000
EU share of tot
imports %
8.27
EU share of tot
exports %
3.30
2001
9.34
3.19
2002
9.50
3.19
2003
10.16
3.55
2004
10.06
3.18
EU trade with Mexico
EUs import from Mexico
EUs exports to Mexico
EU’s investments in LA: the crucial pillar
 Investments FDI to LA: increase during the 90smostly
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privatized industries: energy/telecommunications, banks,
trade:
tot: 385 bill in 2010: 43% of the region’s FDI and
higher than EU’s investm in Russia+China+India combined
Latest summit: investment is the crucial pillar of the
relationship EU-LA
FDI fr EU concentrates on Mercosur (recently also Mexico)
EU’s investments in LA by country:
Spain: 28% (55% of all Spanish investm outside EU)
GB: 22%, France: 13%; Germany: 14% (45% of German
investments in developing countries), Holland: 14%,
Belgium: 3%, Italy: 2%, Sweden: 1,3%
EU’s investments in LA: 2
 EU: the biggest extern investor in LA (decade
2000: 40%):
 2011: US (18%), Spain (14%) y Japan (8%). China:
5,2%
 Flows of European FDI to Latin America peaked in
2000 (€ 46 billion), with the total stock of
European investment in Latin America growing
from € 189.4 billion in 2000 to € 385 bill in
2010 2
 Investments concentrated in Mercosur and México
Investments-where?
 2011: 57% FDI in South America (without Br): in
agriculture, mining and energy, services: 36%,
manufactures: 7%.
 Brasil: 43,8% of all FDI in LA. Manufactures
46,4%; services: 44,3%, raw materials and extractive
ind 9,2%
 México, CA and Caribbean: services: 52,5%;
manufactures: 39,7%, natural resources: 7,8%
 81% of all FDI: Brasil, México, Chile, Colombia and
Peru
EU: Assistance Aid to LA
 LA not a priority area for EU mid 90s: only 10%
of all EU development aid but it was 43% of all
external aid to the region in 1995 (17% came from
the USA)
 Aid concentrated on Central America and Bolivia
 Focusing on economic reforms, support to public
infrastructure: to make the local governments
more effective, in democracy, human rights issues
and struggle against poverty.
A case of aid: Sweden-LA
 Sweden: 2002: less than 10% of all bilateral aid: to
LA
 Aid: mostly to Central America (Nicaragua and El
Salvador-peace, reconciliation, economy
rehabilitation, democratisation-this has changed
lately-abandoning CA)
 South America: Bolivia, Chile, Brazildemocratisation, economic reforms, human rights
and technical education
 The main areas: health, education, human rights
Civil Society and aid in the case of
Sweden
 Swedish NGOs channel 20 % of all bilateral aid
 Both secular and religious NGOs
 Focusing more and more on long term projects
 Main financing sources  the state (80%) but their
own financing is also increasing
 Cooperation partners: local NGOs and sometimes:
state organs
 Some NGOs have local offices and send their own
assistance volunteers: Svalorna, Civis
EU-LA: an inconsistent relationship?
 Priorities for EU: Economic investment, trade, assistance
 Priorities for LA- trade-specially Mercosur, investments –
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specially Mexico
Trade is becoming balanced but it has lately been a deficit
for EU and is still insignificant for EU-therefore: interest in
Association agreements and FTAs
Extreme interest in LA’s nature resourcescompetition with China
EU-sometimes an alternative (HR and democracy clauses)
but mostly a contradictory-inconsistent partner EU’s
policies subordinated to the US, to CAP and complicated
by enlargement
Asymmetry problems extremely present although LA’s
dependency is even bigger from the US