MercoPress. South Atlantic News Agency

Lagos expects quick ratification

Chilean President Ricardo Lagos said he expects Congressional opposition will understand the importance of the recent association agreement between Chile and the European Union and help with its legislative approval.

"This is a historic agreement, what we need is a strong political backing for Chile to compete in the world", indicated President Lagos after meeting with Soledad Alvear, Chile's Foreign Affairs Minister who after arriving from Brussels went directly to meet with the President.

Mr. Lagos said he plans to invite this week leaders of all political parties with Congressional representation and the presidents of both Houses so "we can find a way to consider the trade and political association agreement, and consequently a speedy ratification". "I'm sure once Chileans can see exactly the extent of the agreement, it will have a quick congressional process". However Senators have convened the Foreign Affairs and Agriculture committees for a special session to consider the overall agreement and have requested the presence of Mrs. Alvear and her top aides in Foreign Affairs. "It's not enough with the global ideas, we want to see the small writing of the agreement", indicated opposition Senator Sergio Romero.

Several Senators said they were particularly concerned about agriculture, particularly, beef, dairy produce and wines.Mrs. Alvear anticipated that in the coming days she will begin a "pedagogic round" so that all those involved and or affected can be informed on the contents and advantages for Chile once the agreement is enforced. "It's the first agreement signed by the European Union in the XXIth century and the partner is Chile. This is a great challenge for us and for the whole of Latinamerica", underscored Mrs. Alvear.

Something smells fishy
Chile's powerful fisheries association Sonapesca considers that the recent agreement reached with the European Union is "deficient and negative", for the fishing industry. "We acknowledge the importance of the overall agreement but we consider we (fisheries) have paid the highest price", indicated Sonapesca.

According to the agreement European companies can now purchase 100% of local Chilean fishing companies when previously they were limited to just 49%. "We regret that the important concessions granted by the government in fisheries haven't been fairly compensated", said Sonapesca pointing out that practically no changes have taken place regarding tariffs, since fresh hake which represents 25% of Chilean sales to the European Union remain unaffected by the agreement. European fishing companies will now be able to invest in Chile and have a "satisfactory" access to the Community since 95% of fisheries produce has been liberated.

However, fresh hake and tuna fillets have been excluded and will have the same current tariff level. Sonapesca also pointed out that Europe subsidies fishing with 1,3 billion US dollars annually and because of depredatory practices has seen its fisheries in the North and South Atlantic depleted, plus bilateral agreements with Morocco and Argentina terminated. Fisheries was one of the stumbling issues in the Chilean-European Union talks that have been ongoing for over 18 months.
Bilateral trade between Chile and the European Union reached 5,4 billion Euros in 2000.