Andean Pact

The Andean Pact is an agreement, signed between several Latin American countries, which aims at the integration and economic and social cooperation of certain Latin American countries. Like other pacts and treaties, the Andean Pact promotes economic cooperation between countries through free trade, as well as other mechanisms.

Andean Pact

The Andean Pact is an agreement that emerged in 1969 in Latin America. This pact integrates the signature of countries such as Bolivia, Chile, Ecuador, Peru and Venezuela. The aim pursued by the Andean Pact is the greater integration of the regions that make up Latin America, as well as greater economic and social cooperation, which gives it a greater capacity to jointly face economic and social challenges. social. This pact, as with other pacts such as Benelux, promotes the free exchange of goods and services between the countries, integrating an economic bloc of depth, establishing that customs union.

Although much progress has been made in the negotiations, the Andean Pact continues to work for greater economic unification and integration. Among the measures, the objective is to find a coordinated policy, as well as a total economic union, by managing to even unify the monetary system of the different countries.

Although at the beginning it was made up of Bolivia, Chile, Colombia, Ecuador and Peru, when Venezuela joined the Andean Pact, Chile announced its departure from it.

What countries are part of the Andean Pact?

As we mentioned previously, the Andean Pact is an agreement that, despite being born in 1969, continues in the development phase. The objective of this is to provide a tool to favor a greater integration and cooperation of the associated countries in economic and social matters. However, there are still many countries that have not yet joined this agreement to establish the economic union desired by the promoters of this pact.

For this reason, the countries that make up the Andean Pact are:

Member countries :

  • Ecuador.
  • Bolivia.
  • Colombia.
  • Peru.

Chile was also a founding partner at the beginning of the implementation of the agreement. However, Chile announced its withdrawal during the Augusto Pinochet regime, and left the group of countries that make up said agreement. Later, in 2006, the country joined this group again, joining the pact as an associated country.

Associated countries :

  • Argentina.
  • Chili.
  • Paraguay.
  • Uruguay.
  • Brazil.

Observer countries :

  • Panama.
  • Spain
  • Mexico.

Chile was also a founding partner at the beginning of the implementation of the agreement. However, after Venezuela’s immersion in the treaty, Chile announced its withdrawal and left the group of countries that make up said agreement.

What are the functions of the Andean Pact?

Among the objectives of the Andean Pact are all those objectives that any economic cooperation agreement integrates. In other words, the Andean Pact, like other cooperation blocs, tries to unify and integrate the countries of the same region into a bloc that pursues certain objectives, with coordinated policies and that promote inclusive development.

For this reason, among the functions and objectives of the Andean Pact we could highlight the following:

  • Promote the economic integration of the member countries.
  • Unify economic and monetary policies in all countries.
  • Promote the free movement of goods and services, through the customs union.
  • Promote the free movement of people between member countries.
  • Establish a policy of coordinated action among all countries.
  • Promote integration for greater inclusive development.
  • Establish an agreement to address the objectives collectively.
  • Establish common lines of action to strengthen response systems through cooperation.

History of the Andean Pact

The history of the Andean Pact is quite short. It has its origin in 1969, with the Cartagena Agreement. In this agreement, and given the intentions of consolidating an Andean community since ancient times, the Andean Pact was born. An agreement that was born with the intention of integrating those countries that represented the ancient territories of the Inca Empire, promoting their integration and cooperation with each other.

At the same time, it was born with the union to the agreement of Bolivia, Peru, Ecuador, Colombia and Chile. Later, in 1973, Venezuela joined the pact, thus becoming part of the member countries. A list of countries that does not take long to change, because in 1976, Augusto Pinochet announced the withdrawal of Chile, due to a conflict of interest between his military regime and the cooperation that required integration into the pact.

In this way, there were no notable changes until 1979, when, after the signing of a treaty, what is known as the Andean Court of Justice, the Andean Parliament, as well as the Andean Council of Foreign Ministers was created. After the creation, it is not until 1983, when these entities come into operation. Institutions that, with their creation and implementation, begin to give an institutional format to an agreement that, until then, had been a mere formalism.

During the dates between 1990 and 2000, a series of incorporations of countries took place as observers and associates, which joined the bloc. However, among the member countries, a series of advances are established, such as those of the customs union in the matter of free movement of goods and services, as well as of people, that advance in that economic integration that the pact itself pursues.

Later, in 2005, a union was established between the Andean Community and the member countries of Mercosur. Due to the agreement reached, the Andean countries become members of Mercosur, as well as those of Mercosur, become members of the Andean Pact. All except Venezuela, which leaves the community by order of Hugo Chávez. It is then in 2006 when Chile is re-admitted as an associate member in the Andean Community.

A list of countries that does not change again until 2011, when Spain, approved by the Andean Community, joins as an observer of the Andean Pact.

Community organizations

Given the integration of the countries and the need for greater coordination in their policies, the creation of government bodies is established that, on the one hand, allow the economic and social integration of the member countries. As well as, on the other hand, it allows the supervision and democratic decision-making of the countries that make up said agreement.

That is why its main organizations are:

Intergovernmental organizations :

  • Andean Presidential Council.
  • Andean Council of Ministers of Foreign Affairs.
  • Andean Community Commission.

Community organizations :

  • General Secretariat of the Andean Community.
  • Andean Court of Justice.
  • Andean Parliament.

The Andean Parliament, in turn, is made up of the following bodies:

  • Andean Development Corporation.
  • Simón Bolívar Andean University.
  • Latin American Reserve Fund.
  • Andean Health Organization.

Civil society participation bodies :

  • Andean Labor Advisory Council.
  • Consultative Council of Indigenous Peoples.
  • Andean Advisory Council of Municipal Authorities.
  • Andean Business Advisory Council.