On the other hand, 67% of Chilean products will enter Nicaragua duty free.
The Treaty was signed on February 21st, 2011, in Nicaragua; it excludes are gold and scrap metal, considered sensitive products for both countries.
Jose Adan Aguerri, president of the Superior Council of Private Enterprise (COSEP), told La Prensa that the commercial agreement was reached because both governments and private sectors of both sides were able to recognize the asymmetry differences in production favoring Chile.
Following the exchange of notes of ratification, the Free Trade Agreement between the two nations will become effective on 19 October 2012.
A press release from the Foreign Ministry of Nicaragua reads:
An exchange of letters on the bilateral Nicaragua-Chile protocol, a Free Trade Agreement between Chile and Central America, was held this morning between the foreign minister, Samuel Santos López and the Chilean Ambassador in Spain, Mr Hernan Mena Taboada.
The entry into force on 19 October of the FTA with Chile will expand opportunities for Nicaraguan products.
Over 97% of the supply of Nicaragua’s exportable products now enters the Chilean market duty free. According to the manager of the Export and Investment Center (CEI in Spanish), Roberto Brenes, in the next few years, exports may be duplicated.
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