MercoPress. South Atlantic News Agency

Mercosur: Six months before Venezuela's incorporation

Venezuela expects to begin fully integrating to Mercosur by the end of June 2006 following the signature next week in Uruguay of the official proceedings leading to its full membership.

The "Adherence framework accord" is scheduled to be signed in Montevideo by Venezuelan president Hugo Chavez during the presidential summit when Uruguay hands Mercosur's chair for the next six months to Argentina.

"In two, three days we should have all the documents ready", said Venezuelan ambassador in Montevideo, Maria Lourdes Urbaneja.

Venezuela must comply for its membership with the three main Mercosur agreements which include the Asunción Treaty (foundation); Ouro Preto protocol (institutional structure) and Olivos (solving disputes), plus adopting the common external tariff.

"We would like to see the different proceedings done in the shortest time possible, keeping to political coherence decisions", added ambassador Urbaneja who hopes that "by June 2006 we will have achieved significant advances".

However the Venezuelan admission timetable has to face other hurdles.

Mercosur and the European Union hope to resume negotiations for a free trade zone once the Hong Kong World Trade Organization ministers summit this month is over, with a possible understanding at the latest by May 2006.

An Italian high level delegation which recently visited Montevideo said they expect the EU/Mercosur agreement to be signed before Venezuela becomes a full member.

"If this is the case, and we're not against negotiations with the EU, Venezuela will have to review the Adherence framework accord since it does not clearly establish what happens with a new member when the block is holding talks with a third party", admitted ambassador Urbaneja.

Besides Venezuela' incorporation to Mercosur could cause problems with the other members of the Andean Community of Nations, CAN (Bolivia, Peru, Ecuador, Colombia and Venezuela).

However ambassador Urbaneja flatly denied Venezuela is thinking of cancelling political and cooperation agreements with CAN.

"We will remain in both blocks", she said adding that "according to CAN rules, article 598, entitles a member country to negotiate bilaterally with other blocks on condition the process is "transparent", insisted the Venezuelan ambassador.

"The incorporation of Venezuela to Mercosur will contribute to the consolidation of the Community of South American Nations, CSN".

CSN is made up of CAN, Mercosur plus Guyana and Surinam.

Ambassador Urbaneja confirmed President Chavez will be arriving in Montevideo next December 7 and the bilateral agenda with Uruguay includes the expansion of the country's only refinery; helping out with the chain of money loosing gasoline stations Uruguay's oil company has in Buenos Aires City and finally promoting trade by bartering energy for food.