Free Trade Area of the Americas - FTAA

Trade Negotiations

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SG/TU/WG.SERV/DOC.2/97/Rev. 2
25 February 1998
Original: English




Several bilateral free trade agreements and partial scope agreements have been negotiated under the Latin American Integration Association (LAIA), particularly after the Treaty of Montevideo of 1980. LAIA integration mechanisms are based on a sectoral approach: regional scope agreements covering all members of the Association and partial scope agreements which are trade agreements under which sub-groups of members give preferences on some specific products or sectors. Those agreements which involve more than two signatories and which have the stated objective of realizing free trade and/or further integration have been included in Part I of this study.

The partial scope agreements which are wider in scope are called economic complementation agreements (Acuerdos de Complementacion Economica). Those latter agreements which are bilateral and which have the stated objective of realizing free trade among signatories have been reviewed in Part III of the FTAA Document “Provisions on Trade in Services in Trade and Integration Agreements of the Western Hemisphere”. Those bilateral agreements with less ambitious objectives and with only a partial or limited sectoral coverage are reviewed here. At present there are 35 partial scope and economic complementation agreements in place which have been negotiated by ALADI members, more than half of which have been signed in the 1990s. Not all of these contain provisions related to services. In some of these partial scope agreements services are treated among the general objectives only, while in others the service sector is the object of a negotiating commitment for liberalization.

Twelve (12) of the bilateral partial scope agreements existing among ALADI members which cover services in one form or another and which were set out in the ALADI Secretariat document ALADI/SEC/dt 386 of 30 September 1996 (Acuerdos suscritos por los paises miembros de la ALADI que contienen disposiciones sobre servicios) are summarized below. It is possible that this is not an exhaustive list. 

Provisions on Services in Bilateral Partial Scope Agreements

ACE5 /1(Argentina-Uruguay): the countries agree to undertake joint actions to address infrastructure problems, especially in the fields
of transport and communication.

ACE/5 (Mexico-Uruguay): the countries agree to promote the adoption of measures to facilitate the supply of services of one country into the territory of the other, based on national treatment and most-favored-nation principles and on the elimination of other restrictions. The strengthening of trade is to be promoted, especially that of air and maritime transport. 

ACE/8 (Peru-Mexico), ACE/9 (Argentina-Peru) and ACE/11 (Argentina-Colombia): in all three agreements the countries agree to promote the strengthening of trade, especially that of air and maritime transport.

ACE/13 (Argentina-Paraguay): mentions the goal of intensifying the economic, financial, technological, tourism and cultural cooperation; and, among its objectives, mentions the adoption of measures in order to facilitate transport and trade, as well as to facilitate the transit of persons, merchandise and vehicles. It also establishes the promotion and strengthening of communications, especially the transport of merchandise in all modes.

ACE/20 (Argentina-Venezuela) and ACE/21(Ecuador-Argentina): both agreements mention the intention of the two parties to facilitate and develop both regular and occasional air service operations for passengers and freight, with the purpose of strengthening tourism and promoting trade among the countries.

ACE/25 (Brazil-Peru): the countries agree to promote sectoral cooperation through cooperation agreements between productive and services sectors of the signatory countries. The agreement covers investment and transport facilitation. In terms of land transportation, they commit to jointly investment in order to improve the infrastructure for land transport between their respective territories.

ACE/27 (Brazil-Venezuela): the countries agree to undertake and analyze the possibility of negotiation of an agreement on trade in services, through the signature of an Additional Protocol to the AGCS and the regional agreements which are being negotiated in this area.

The countries will also promote Cooperation Agreements in the distinct productive, industrial, commercial and services sectors. Notwithstanding, the Fourth Additional Protocol on Cross-Border Cooperation establishes cooperation mechanisms for the promotion and development of trade, among them the improvement of customs procedures, and transport networks.

ACE/28 (Ecuador-Uruguay): the countries agree to facilitate operations associated with trade and investment through the elimination of barriers to transport, financial flows and other services related to those activities. In terms of air transport, they commit to establish mechanisms to facilitate and develop regular passengers and freight services. The Parties will negotiate a program in order to gradually harmonize policies of government procurement.

ACE/30 (Ecuador-Paraguay): with respect to air transport the countries agree to seek mechanisms which will allow the development of regular and occasional air service for passengers and freight in order to strengthen trade and tourism.


5 ACE for “Acuerdos de Complementacion Economica”.

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