Paniagua underscores political nature of Andean integration and advocates more participation by society

Lima, May 28, 2001. Peruvian President Valentín Paniagua and Andean Community (CAN) Secretary General Sebastián Alegrett today coincided in underscoring the political nature of integration and the need for the active involvement, not only of the governments and entrepreneurs, but also of society as a whole.

Paniagua and Alegrett so advocated in their addresses given during the acts commemorating the thirty-second anniversary of subregional integration that were attended by high-level government officials, heads of diplomatic missions, and representatives of international organizations and of the Andean Integration System (SAI) at the headquarters of the CAN in Lima

Confronted by the possibilities and risks that globalization holds, President Paniagua reaffirmed Peru’s commitment to the consolidation and deepening of integration from "which it will never shirk" and which should become, like democracy, a "deeply felt need and aspiration" of our societies.

Paniagua considered it necessary "to reinforce the Andean Community’s external presence and projection as a reflection and expression of the united and solidary future of our nations."

In that connection, he emphasized as important accomplishments the design of a Common Foreign Policy, the "age-old dream of South American integration" through negotiations between the CAN and Mercosur, incorporation "into the Free Trade Area of the Americas under fair and balanced terms," and eventually the establishment of an association agreement with the European Union to achieve "free trade and a larger flow of investment."

The Peruvian President was of the opinion that the CAN’s institutional structure "ensures appropriate participation in and leadership of the process" and went on to stress that "no guarantee is stronger than the full authority of democracy and the constitutional state."

For that reason, he was fully in agreement with the views expressed by President Andrés Pastrana during his recent visit to the CAN headquarters, and asserted that it is necessary to "guarantee compliance with the decisions of all Community bodies, particularly the Andean Court of Justice," for "only in that way will cooperation among the countries be strengthened with the full backing of the Community body of law."

Paniagua pointed out that over the three decade-long existence of the CAN "a space has effectively been created, which is starting to become significant for our countries’ economy and trade" and advocated its deepening through the establishment by 2005 of an Andean Common Market that would involve the free circulation of goods, services, capital and people.

"Active ideological and political advocacy is urgently needed –said he-- in order to win over consciences and wills," so that integration can involve a "way of life" and a "suggestive project" that gives priority to the struggle against poverty, guarantees the "fair distribution of knowledge," and offers job opportunities.

The Secretary General of CAN, for his part, indicated that Peru’s participation, through the transition government, had been decisive in producing the political boost that deepened the integration movement and turned the Community "into a spokesman worthy of consideration in the various forums for international negotiations."

In confronting the challenges involved in building the Common Market, Alegrett underscored the importance of the proposals to be put forward at the forthcoming Andean Presidential Council, scheduled for June 23 and 24, with regard to the Free Circulation of People and Border Integration and Development Policies, as well as to the Common Agricultural Policy and the new Common External Tariff that will allow the customs union to have "a more modern and appropriate grounding."

In connection with the latter, he reported that proposals have been made to establish lower levels of protection than the presently existing ones and to considerably reduce the tariff spread. These measures are expected to boost productivity and to favor the competitiveness of subregional production in both subregional and third markets.

Alegrett expressed his assurance that the Andean Community "matures day by day as shared and realistically oriented equitable economic, social and political development take root. " In his judgment, the "only ism that we practice is open regionalism, which sets us apart from all political and economic extremism, such as neoliberalism or protectionism."

He went on to emphasize that subregional free trade has "expanded considerably as a result of the juridical soundness of the Community’s body of law" and considers that this year it may reach a record figure of six billion dollars, 90 percent of it in products with a high value added.

The Secretary General was in favor of maintaining our political unity in order to "be equipped to take part in globalization in the most favorable conditions possible, find an answer to the increasingly pressing social demands of our peoples, and ensure that the citizens at large are given a voice in our integration." Only in that way –he concluded—will we "fulfill the mandate passed down to us by history and Simón Bolívar, the Libertador’s, dream of our union."