It is 'impossible' that the Association Agreement with the European Union will be ratified this year.
This was the announcement made by the Minister of Economy of El Salvador, Hector Dada Hirezi, referring to the fact documents containing the cornerstones of the agreement have yet to be translated.
"Once the documents have been translated, they must go through the ratification processes of each of the Central American countries before they come into force.
Both countries have finalized a feasibility study as part of the analysis of a possible free trade agreement (FTA).
The announcement came from Salvadoran Economy Minister, Héctor Dada Hirezi, who added that by June they hope to have finished analyzing the study results.
"South Korea will officially notify its interest in continuing by providing an agenda for future negotiations," commented the minister to ACAN-EFE.
Seasoned in negotiations with Europe, Central American employers are demanding to political sectors to accelerate the process for the economic integration of the isthmus.
50 years after the signing of the General Treaty of Central American Integration, over 40 million people living in the region still do not enjoy the economic benefits and development opportunities that could effectively be consolidated if Central America would act as a single economic unit, much like the European Union.
Tomorrow, Central America and the European Union will continue negotiating the Association Agreement; dairy products will be the main item in the agenda.
Within the commercial chapter of the agreement, the most complicated topic has been how much European agricultural production may enter Central America, especially dairy goods.
Dairy producers from the Central American Dairy Federation (Fecalac) hope for a successful conclusion of the agreement, but worry for a potential rushed resolution.
The economy ministers of Central American will evaluate a possible Free Trade Agreement with Peru during the second half of 2010.
Héctor Dada Hirezi, Salvadoran Economy Minister, explained that Peru has expressed its interest in implementing a trade agreement with Central America.
“Salvadoran exports to Peru include: metal working, machinery, mechanical and electrical devices, paper products, cardboard and wood pulp, plastics and rubber”, reported Capitales.com.
From January to May 2009, $1.736 were exported and imported within the region, down from the $2.196 million registered in the same period of 2009.
The global economic crisis was the main reason behind the fall in regional trade, as imports and exports to the rest of the world also decreased, with drops of 30% and 15% respectively.
"The drop in trade was one justification used by ministers from Guatemala, El Salvador, Nicaragua and Costa Rica, when opposing sanctions to Honduras", published Nacion.com. "The ministers warned that political sanctions, such as isolation, will only impact commerce, job generation and areas affecting all five countries".
The creation of the Territorial Development Secretary intends to change the country´s municipalities into "development agents".
Héctor Dada, Economy Minister, commented that the new secretary is analyzing studies by the National Development Commission, looking to identify which areas will be developed.
More declarations by the Minister were published in Elsalvador.com: "...his Ministry will focus in supporting micro, small and medium companies for three reasons: 'They are the ones in need of most help in times of crisis, they generate the most jobs and their being more dynamic can imply more demand and supply to large companies".