Aimed at creating what it says is a stronger, modernised strategic partnership through reinforced political engagement and boosting trade and investment, the High Representative and the European Commission yesterday set out a New Agenda for Relations between the European Union (EU) and Latin America and the Caribbean (LAC).
This is according to a press release from the EU which said that Latin America and the Caribbean are key allies to defend and strengthen a rules-based international system; noting that “together, we represent almost one third of the membership of the United Nations (UN);” while adding that, “we are strong supporters of international law and the UN Charter.”
Against this background, the release said that the Region is vital to the ecological balance of the planet, with over 50% of the planet’s biodiversity and is also a major food producer, accounting for 14% of global food production and 45% of net international agri-food trade, and a renewable energy powerhouse as its generation mix has the largest share of renewables in the world, amounting to 61% in 2021.
It quoted President of the EU, Ursula von der Leyen as saying “Today, the EU–LAC strategic partnership is more important than ever. We are key allies to strengthen the rules-based international order, stand up together for democracy, human rights and international peace and security. We also have an interest in strengthening our political partnership and engagement, fight climate change and to take forward an inclusive, human-centred digital transformation. Our Global Gateway will also boost investment and closer cooperation.”
Launched ahead of the EU-CELAC Summit to be held in Brussels on July 17th and 18th, the Commu-nication makes a series of proposals in areas it says are key, which include renewed political partnership; strengthening common trade agenda; rolling out global gateway investment strategy to accelerate fair green and digital transition and tackle inequalities; joining forces for justice, citizen security and the fight against transnational organised crime; working together to promote peace and security, democracy, rule of law, human rights and humanitarian aid; and building a vibrant people-to-people partnership.
Regarding political partnership, the release notes that this is planned to be boosted at the bi-regional, sub-regional, bilateral and multilateral levels.
At the bi-regional level, it proposes to enhance dialogue between the EU and the Community of Latin American and Caribbean States (CELAC), with more regular Summits and a permanent coordination mechanism.
Merits
Sub-regionally, the release said the Caribbean merits increased political attention through the finalisation of the post-Cotonou Agreement, in addition to engagement with other sub-regional groups such as Mercosur, the Central American Integration System (SICA) and the Andean Community or the Pacific Alliance.
Meanwhile, at the bilateral level, the release said that the new agenda eyes relaunching Summits with strategic partners Brazil and Mexico, as well as establishing political dialogue mechanisms with a number of countries that do not currently have them; are other priorities.
The new agenda communication also proposes increased cooperation at multilateral level to address jointly regional and global challenges in line with shared values, interests and objectives; noting that “both regions have an interest in working together for a reform of the global financial architecture, in particular multilateral development banks, and forging a new global financing pact.”
Regarding trade, the press release said that bilateral and regional trade agreements are a key driver for growth and diversification strategies in both regions, and catalysts for sustainable and inclusive development which has been credited with two-way trade in goods being increased by 40% from 2018 to 2022, with a total bilateral trade in goods and services of €369 billion in 2022.
On this point, the EU release said that efforts are underway to sign and ratify the modernised agreement with Chile and to finalise the one with Mexico, as well as to conclude the agreement with Mercosur. Once trade agreements with Central America and Colombia-Peru-Ecuador are ratified by all EU Member States, it said that strengthening the sustainability provisions of the agreements should then also be considered.
The release went on to say that the EU will continue to work with LAC partners to help create the conditions for sustainable investment, including by jointly addressing the impact of European Green Deal legislation, and the support of open, stable, and predictable legal frameworks.
Further, it said that there will also be enhancement of EU-LAC cooperation in the World Trade Organisa-tion, as well as strengthening global efforts to diversify sources of raw materials and make global supply chains more resilient to benefit both regions.
As it relates to Global Gateway, the release said that the EU-LAC Global Gateway Investment Agenda (GGIA) is a political commitment to work together, identifying fair green and digital investment opportunities in Latin America and the Caribbean, which will benefit from the open environment generated by trade and investment agreements and will help achieve the Sustainable Development Goals.
It said that investments will be mobilised for, amongst others, renewable energy and green hydrogen, critical raw materials, decarbonisation, and transport infrastructure projects, 5G and last-kilometre connectivity, digitalisation for public services, sustainable forest management, health manufacturing, education and skills and sustainable finance.
Through the Global Gateway investment strategy, the release said that the EU would be able to leverage quality investments to help address the regions infrastructure needs, while creating local added value and promoting growth, jobs and social cohesion; even as it noted that in addition to investments in hard infrastructure, Global Gateway supports human development, including youth and women’s empowerment, enhancing innovation, education and skills, as well as an enabling business and regulatory environment.
On Green Transition, the press release said that there is significant potential for cooperation between the EU and Latin America and the Caribbean towards climate neutral, clean and nature-positive economies; noting that the Region has unique potential in terms of biodiversity, natural resources, sustainable renewable energies, agricultural production and strategic critical raw materials.
“We both are committed to protecting biodiversity, halting deforestation, promoting more circular economies, improving waste and water management, increasing resource productivity and tackling pollution, as well as working towards climate neutral, clean and nature-positive economies,” it said.
The release said that the Communication proposes to consolidate and strengthen the partnership on justice and security to address common challenges posed by transnational organised crime, including the drugs trade and human trafficking; and stresses the importance of reinforcing cooperation on human rights, including non-discrimination and gender equality.
It also aims to make a case for a more prominent protection for human rights defenders and journalists; and also proposes joint efforts to promote democracy, rule of law and good governance, as well as global peace and security.
