RESTRICTED
WORLD TRADE WT/COMTD/4
1September 1995
ORGANIZATION(95-2529)
Original: Spanish
MEMORANDUM OFUNDERSTANDING ONCLOSER RELATIONS
BETWEEN BOLIVIA AND MERCOSUR
Communication from theRepublic ofBolivia
Thefollowing communication, dated 14August 1995, hasbeenreceived fromthePermanent
Mission oftheRepublic ofBolivia.
_______________
ThePermanent Mission ofBolivia totheUnited Nations Office andOther International
Organizations atGeneva presents itscompliments totheDirector-General oftheWorld Trade
Organization (WTO) andhasthepleasure totransmit herewith acopy ofthe"Memorandum of
Understanding onCloser Relations between Bolivia andMERCOSUR", signed bythePresidents of
theMERCOSUR member countries andBolivia during theEighth Summit ofMERCOSUR Presidents,
heldinAsunción on4and5August 1995.
ThePermanent Mission ofBolivia considers thisamajor effort inthatitembodies the
intensification oftrade relations, attraction ofinvestment andstrengthening ofjointprojects between
Bolivia andMERCOSUR.
./.WT/COMTD/4
Page2
MEMORANDUM OFUNDERSTANDING ONCLOSER RELATIONS
BETWEEN BOLIVIA AND MERCOSUR
TheGovernments oftheArgentine Republic, theFederative Republic ofBrazil, theRepublic
ofParaguay, theEastern Republic ofUruguay, being theStates Parties ofMERCOSUR, andthe
Government oftheRepublic ofBolivia,
Convinced ofthesignificance oftheregional integration process forobtaining abetter insertion
oftheireconomies intothehemispheric andinternational economies;
Recognizing theimportance oftrade liberalization within theregion andthehemisphere in
thecontext ofopenregionalism,
Stressing theimportance anddynamism ofsubregional agreements intheLatin American
integration process;
Aware ofthephysical, geographical andeconomic links between Bolivia andthecountries
oftheContinents Southern Cone;
Taking intoaccount thewishexpressed atthehighest levelforcloser relations between Bolivia
andMERCOSUR,
Agree asfollows:
Article 1.Toestablish thefoundations forthedevelopment ofrelations between theRepublic
ofBolivia andMERCOSUR.
Article 2.ToformaFreeTradeAreabetweentheRepublicofBoliviaandMERCOSURwithin
amaximum period of10years.
Thenegotiations fortheFreeTrade Agreement shallinclude therenegotiation oftheexisting
agreements by15December 1995, asafirststage, inorder toattain theobjective ofconcluding the
saidAgreement during 1996, andifpossible by30June1996;
Article 3.Toestablish alegal framework forthepromotion andprotection ofreciprocal
investments.
Article 4.Tocontinue implementing road, riverandlandinfrastructure projects inorder to
strengthen thephysical integration oftheregion 'smarkets aswellasitsexternal influence. They shall
alsofacilitate integration among theparties inenergy matters.
Article 5.Toanalyse,asaninitialstep,theprogressiveliberalizationofriverandroadtransport
andmeasure tofacilitate border operations relating tosuchtransport.
Article 6.Itisrecommended thatnegotiations between MERCOSUR andBolivia beincluded
intheMandate ofAsunción -MERCOSUR Programme ofAction totheyear2000 -inaccordance
withArticle 2ofthisAgreement.
(Signed) FortheArgentine Republic
(Signed) FortheRepublic ofBolivia (Signed) FortheFederative Republic ofBrazil
(Signed) FortheRepublic ofParaguay
(Signed) FortheEastern Republic ofUruguay