Chile, Mexico and Peru reaffirms policy of trade liberalization

Twelve countries sharing the Pacific signed Thursday in Auckland, New Zealand, the Trans-Pacific Partnership (TPP), which will create the largest free trade area in global once ratified by national parliaments.

Among the nations of the agreement are three Latin America: Chile, Mexico and Peru, who hope to secure through the agreement ties mainly with Asian countries.

According to General Director of International Economic Relations (Direcon) of Chile, Andres Rebolledo, the TPP will consolidate relations with the Asia-Pacific region through a "bigger and modern" economic model.

"Expediting customs procedure allowing lower costs of foreign shipments will be made," said Rebolledo while noting that "clear and transparent regulations will; facilitate investments; and e-commerce and SME participation in foreign trade "is encouraged.

The TPP states design rules governing international trade of its members, who represent 36% of world GDP and 25% of international trade.

For the head of the Ministry of Foreign Trade and Tourism (Mincetur) of Peru, Magali Silva, the agreement will favor mainly the non-traditional export sector, helping to create new engines of growth for the Peruvian economy.

"Peruvian SMEs are inserted to global value chains and gain access to a higher level of expertise as well as a significant transfer of technology," said Silva.

Under Peruvian official, the inclusion of SMEs in the export sector will improve the country's competitiveness and national standards, consolidating the country in the Asia-Pacific region.

It also provides that the Andean country with the opening of markets in New Zealand, Malaysia, Vietnam, Brunei and Australia-all members of PPT- exports may increase in 2000 $ 250 million for fruits and vegetables, Andean grains , fishery products and cotton textiles and alpaca.

The Peruvian minister said that "no trade agreement previously signed cease to apply after the term of the TPP" and stressed that "the exporter will decide which of these instruments continue exporting suit you."

For his part, Secretary of Economy (SE) of Mexico, Ildefonso Guajardo said recent days the local press that "the agreement will give SMEs the impact that NAFTA failed".

The authorities pointed out that the agreement includes a specific chapter on Development, which focuses primarily on inclusive growth, gender equality and the promotion of education, science and technology.

It is anticipated that after his signature, within two years, subscribers notify the approval. However, there is a clause stating that the agreement would enter into force upon ratification by six countries in the TPP, representing 85% of the new trade bloc.