From: Human Rights Coordinator <hrcoord@igc.apc.org>
Newsgroups: soc.culture.latin-america
Date: 14 Aug 92 09:59 PDT
Subject: IPS: Abolition of barriers key
Nf-ID: #N:cdp:1473800247:000:4163
Nf-From: cdp.UUCP!hrcoord    Aug 14 09:59:00 1992


From: Human Rights Coordinator <hrcoord>
Subject: IPS: Abolition of barriers key

/* Written 12:09 am  Aug 13, 1992 by newsdesk in
cdp:ips.englibrary */ Copyright Inter Press Service 1992, all
rights reserved.  Permission to re- print within 7 days of
original date only with permission from 'newsdesk'.

Title: LATIN AMERICA: Abolition of barriers key to more trade with
Europe

an inter press service feature

by carlos bendana

bonn, aug 10 (ips) -- the abolition of the european community's
(ec) protectionist barriers will be the decisive factor for latin
american exports of farm products and finished manufactured goods,
experts said monday.

''the problem lies in the fact that the ec has much higher tariffs
on finished goods than on raw materials, though import duties on
raw materials may be increased,'' said bolko schwanecke, an expert
in germany's trade with latin america.

schwanecke was commenting on the findings of the latest study by
the germanic bank of south america which showed that latin
american exports to germany declined one percent in the first
quarter of 1992 compared to the corresponding quarter for 1991.

chile was hardest hit a 23 percent drop, amounting to 56 million
dollars. this decline is due mainly to a 10 percent fall in world
copper prices; this metal accounts for 40 to 45 percent of chile's
exports to germany.

on the other hand, exports increased by 16 percent for venezuela,
and 39 percent for ecuador -- equivalent to 42 million and 22
million dollars respectively.

during the same period germany's exports to latin america
increased by 11 percent -- seven percent higher than german
exports as a whole.

the study attributes the increase in germany's exports to latin
america to the high growth rate of the region's economy and the
liberalisation of the latin american market.

mexico, which absorbed one third of germany's total exports to
latin america, is germany's main buyer, according to the study
which said that brazilian imports from germany had declined
because of the recession.

also, there was a cutback of some 64 million dollars in exports to
cuba owing to the scarcity of hard currency in the island's
reserves and because of the break-off of cuba's relations to the
defunct german democratic republic.

according to the study, latin america's share in total german
exports rose slightly from 1.8 to 1.9 percent, but remained
clearly below the 1981 level of 3.5 percent.(more/ips)

latin america: abolition of barriers key to more trade with
europ(2-e)

latin america: abolition (2)

according to the germanic bank's data, latin america's 1991
imports from germany amounted to almost nine billion dollars (two
percent of total german exports) and its exports to germany
totalled 10.559 billion dollars (2.5 percent of total german
imports)

guiyerna almeida -- an expert from the iberoamerica association, a
federation of german companies specialising in trade with latin
america -- explained that the decline in german imports was
because of the recession in germany and the heavy financial burden
of reunification.

''the german economy grew by 3.5 percent in 1991, but growth will
only be between two and 2.5 percent this year,'' he predicted.
''trade with latin america will grow depending on the economic
situation and the wage increases in germany.''

both almeida and schwanecke agreed that in the long-term
improvement in trade with germany will depend on an increase in
latin american exports of semi-finished and finished products.

they also said that a successful outcome of negotiations in the
uruguay round of the general agreement on tariffs and trade (gatt)
would be decisive for the future trade relationship.

just last week german minister of cooperation carl-dieter spranger
severely criticised the latest proposals of the ec commission for
quota restrictions on the sale of latin american bananas in the
ec. this will have ''devastating consequences'' on the uruguay
round negotiations, he said.

the ec is currently streamlining in trade regulations in
preparation for a single european market which comes into effect
on january 1, 1993.(end/ips/ie/trd/cbp/ica/tt/cdm/92)

Newsgroups: soc.culture.latin-america