MercoPress. South Atlantic News Agency

Ecuador expects to ink a wide ranging free trade agreement with China

“Good news to start 2023. The FTA negotiation between China and Ecuador has been successfully concluded,” president Guillermo Lasso said on Twitter.

Ecuador has reached a free trade agreement with China which is expected to increase the country's exports by a billion US dollars as well as boost the growth in the industrial sector, it was announced.

“Good news to start 2023. The FTA negotiation between China and Ecuador has been successfully concluded,” Ecuadorian president Guillermo Lasso said on Twitter.

“Our exports will have preferential access to the largest market in the world, our industries will be able to acquire machinery and inputs at lower costs.”

“This trade agreement will allow preferential access for 99% of Ecuador’s current exports to China, especially agricultural and agro-industrial products such as shrimp, bananas, roses and flowers, cocoa, and coffee,” Ecuador’s production ministry said in a statement.

According to data from the Central Bank, Ecuador reached US$ 5 billion in exports, especially agricultural products, in 2022, almost US$ 1 billion more than the previous year.

However two more steps must be completed for the agreement to enter into full force: formalization of the signed terms through translation and legal revision, and finally, Assembly approval.

But so far not much has been said in Quito about the huge debt Ecuador accumulated with China, dating from the time of former president Rafael Correa and some pharaonic projects, or what is going to happen with the roaming Chinese fleet that loves to fish in some of Ecuador and Galapagos Islands, marine protected areas, and where some of its members have been caught red-handed illegally fishing.