European cooperation for harmonizing rules on free competition in the Andean region

Lima, June 8, 2001. The European Commission and the Andean Community General Secretariat (CAN) yesterday signed a Financing Agreement for a Project to Harmonize Rules on Free Competition in the Andean Region.

The Agreement was signed by the Commissioner for Foreign Relations, Christopher Patten, on behalf of the European Commission and by CAN Secretary General Ambassador Sebastian Alegrett.

Under the Agreement, the European Commission will provide the CAN with a non-refundable grant of 2 million Euros (approximately US$ 1.8 million) to fund the project, which will have a total cost of 3.5 million Euros (nearly US$ 3.15 million).

This project is one of the cooperation activities with the CAN General Secretariat provided for in the European Commission’s Pluriannual Guidelines for the Andean Region.

It is intended to contribute to Andean economic development by reinforcing the Andean internal market and its regional dimension.

An effective system of protection for free competition within a regional market is one of the basic prerequisites for the proper operation of an internal market, as Europe’s regional interaction has clearly shown.

The project aim will be pursued through two lines of measures: 1. Definition and implementation of a harmonized regional legislative, administrative, and judicial framework; and 2. Support for national and regional institutions responsible for overseeing enforcement of the rules of free competition.

These objectives are expected to be accomplished through technical assistance, training and information activities, including visits by Andean technicians to European institutions. These measures will make it possible for Europe’s experience and know-how in this area to be made available to the CAN.