TRANSPORTATION


LAND TRANSPORTATION

The Andean Community has adopted legislation to facilitate and liberalize the different modes of transportation and, in that way, to contribute to the growth of trade within the subregion and to the strengthening of its physical integration. 

Today, there are specific Decisions and Resolutions concerning all of the modes, including multimode transportation, which spell out clearly and precisely the criteria needed to provide those services.  

1. International Highway Passenger Transportation

Legislation adopted through Decision 398 (17.JAN.1997) regulates international highway passenger transportation in the Andean Community.  

Decision 561 (JUN.25.2003) subsequently amended article 80 of Decision 398, replacing the previously valid temporary criterion (7 years old) among the technical conditions for authorizing buses to start and to continue providing this service.  In compliance with this Community Decision, the General Secretariat of the Andean Community, through  Resolution 833 (JUN.18.2004), approved those technical conditions, whose fulfillment must first be verified by the Member Countries’ competent national land transportation agencies before the cited service may be provided. 

Two resolutions were adopted for the implementation of Decision 398, Resolution 718 (APR.26.2003) approving the criteria for rating the eligibility of the international passenger highway transporter; and Resolution 719 (APR.26.2003) approving the Regulations of Decision 398, including the approval of the forms and instructions to be used by both national authorities and transporters. 

2. International Highway Transportation of Goods

International highway transportation of goods is an effective instrument for consolidating the subregion’s economic space and accomplishing the objectives of the Cartagena Agreement. It also serves as a valuable integration tool that provides vital support for trade, the competitive expansion of the production base and the vitalizing of foreign trade.   

International highway transportation of goods is regulated basically by Decision 399 (JAN.17.1997) and the other Community legislation on the subject constitutes regulatory offshoots. This Decision is currently being amended or replaced and a draft Decision is now under review; the development and specialization achieved in this field merits the updating of the regulatory framework to reflect the true situation of operations in this area of transportation today, bearing in mind the sector’s economic and social significance.    

It is important to mention here that the so-called Binational Working Committees on International Highway Transportation are now in operation, based on the cited Decisions 398 and 399, as working bodies by pairs of bordering Member Countries.  Their objective is to promote the active participation of public and private actors and the academic sector in proposing solutions to the problem of international highway transportation of goods and passengers in the CAN and on aspects of the border crossings involved in the former case and in the adoption of technical and operational agreements; as well as to support and take part in the preparation of the Andean Community Common Policy on International Highway Transportation. 

By the same token, it should be mentioned that Decision 617 (JUL.15.2005) adopted the regulations on Community Customs Traffic, which is the customs regime whereby goods are transported under customs control from a customs office of departure to one of arrival in a single operation in which one or more Member Country borders may be crossed, with the suspension, so long as the goods remain under this same system, of duties and taxes that will eventually become payable.   These regulations were subsequently amended through Decision 636 (JUL.19.2006).

In addition, and within this same context, international highway transportation of goods is also regulated by Decision 467 (AUG.12.1999), which establishes the violations and system of penalties for authorized transporters; and Resolution 272 (AUG.28.1999), which specifies the criteria for rating the transporters’ eligibility and for determining the vehicles’ minimum useful cargo capacity, and establishes the requirements for the association contract.  Resolution 300 (OCT.07.1999), for its part, regulates Decision 399, including approval of the forms and instructions to be used by both national authorities and transporters, and was amended by Resolution 721 (APR.26.2003),

3. Legislation applicable to International Highway Transportation of Passengers and Goods

Decision 271  (OCT.19.1990) approving the Andean Highway System and Decision 277  (NOV.23.1990) amending it are among the Andean Community’s legislation that is applicable to the international transportation of both passengers and goods. 

Decision 290 (MAR.21.1991) approves the Andean Civil Liability Insurance Policy for International Highway Transporters and the Annex that protects Land Crews from personal injury accidents.   

Decision 434 (JUN.11.1998) creates the Andean Committee of Land Transportation Authorities (CAATT), made up of the competent national authorities responsible for land transportation in each Member Country.  

The Andean Technical Regulations on Weight and Dimension Limits for Vehicles providing International Highway Transportation of Passengers and Goods were approved through Decision 491 (FEB.09.2001), in order to ensure that the service is provided with maximum safety and efficiency and to safeguard the Member Countries’ road systems. 

Lastly, Resolution 720 (APR.26.2003) approved the Procedure for Updating Information in the Andean Registry of Authorized Transporters and of Eligible Vehicles and Cargo Units (Decision 399) and the Andean Registry of Authorized Transporters and Eligible Vehicles (Decision 398).