Pacific Alliance, with a firm step?

The Pacific Alliance (integrated by Mexico, Chile, Peru and Colombia) was born in 2011 with the intention of deepening the relationship between economies with freedom in the mobility of goods, services, capital and people. , has been considered internationally as a success, because of the political will of the leaders who, since then, meet every year to ensure the pro tempore presidency of the bloc that lacks rigid structures for its operation. Between Monday and Tuesday, the Presidents of the member countries will meet in Puerto Vallarta with more than 250 businessmen to publicize the progress that has been made.

This year, at a time when the world economy is fragmented and Donald Trump, the meeting between the four economies will be incomplete: Andrés López Obrador, Mexican President , said that he will not participate for not having any evidence that accredited him as elected president, despite the fact that the outgoing president Enrique Peña Nieto l & # 39; participated in the event.

President Peña Nieto will be accompanied, Juan Manuel Santos President of Colombia ; Sebastián Piñera, Chilean counterpart, and Martín Vizcarra, Peruvian leader. In this scenario Vizcarra will receive the presidency of the organization.

The absence of López Obrador, marks a trend that worries entrepreneurs: the institutionality.

The private sector has expressed the need for a technical secretariat because he believes that the figure EL COLOMBIANO knew that this would be one of the topics that would be debated during the fifth edition of the Pacific Alliance business meeting, although there is still no agreement on the proposal.

] This private sector claim; however, it is with a view to improving. For example, what is happening with Rappi, an app that allows you to order food, markets, or drugs and has started operations in Mexico and Chile, and hopes to reach Peru soon; as well as the law firm Philippi, Prietocarrizosa Ferrero DU & Uría, which is present in these jurisdictions.

According to the World Bank, the bloc comprising the four economies will grow by 6.1% this year.

Colombia received $ 2,994 million in investments and exported $ 7,997 million worth of non-mining properties, for a total of $ 13,433.2 million, only in the last two years.

The countries of the Alliance represent a significant market relevance: Mexico is our fifth export destination, Peru the ninth and Chile the tenth. "Between 2011 and 2017, exports to the Alliance grew from 7% to 10% of the total exported by the coffee nation to the world," says the Ministry of Commerce, Industry and Tourism (MinCIT) to this media.

] This increase is even more important for Colombian exports of non-mining energy products which, according to the MinCIT, rose from 51% to 62% of total sales to the Alliance countries.

Juan Carlos Rondón director of the Master of International Business at the Prime Business School, Sergio Arboleda University, said that in recent years has consolidated the way of doing business within the block, even Beyond the Treaties

Decisive steps have been taken to harmonize the regulation of cosmetics, biologics and food supplements to be marketed between countries. Embros of the Alliance having the sanitary certificate of one of the four nations. In this sense, Saúl Pineda director of the Center for Reflection on Competitive Strategies (Cepec) of the Universidad del Rosario, pointed out that there is a series of non-traditional Colombian products that have gained weight. "For example, exports of pbadenger cars increased by 129.4% between 2006 and 2017 and by 35.3% between January and May 2018. In addition, confectionery (14.7%) and hair preparations ( 5, 3%) showed good results in the first five months of this year. "

The Ministry has acknowledged that there has been significant progress in the interoperability of its one-stop-shops for foreign trade.The four countries are already exchanging phytosanitary certificates and it is expected that the same will be achieved. made very soon with those of origin.The Mutual Recognition Agreement for Authorized Economic Operator (AEO) programs has also progressed.

With regard to tourism, for example, arrivals of residents Foreigners in the Pacific Alliance to Colombia reached 192,616 tourists, an 8.2% increase over the same period of 2017, according to Procolombia (see Report).

Education, the Colombian Institute of Educational Credit and Studies Abroad (Icetex) detailed that of the 1,840 scholarships were awarded for undergraduate students, professors, researchers and doctoral students, 500 were for the Colombia.

There are significant challenges for the Pacific Alliance: reaching the Asia-Pacific market, expanding the efforts of the bloc's stock markets and expanding the range of instruments that can be traded in the integrated market of Latin America (Mila), and the entry of new members such as Australia, New Zealand, Singapore Observer countries and Canada, which are currently observers (see parentheses).

"There are many opportunities for expansion for Colombian agriculture and manufacturing in the markets of Australia and New Zealand." But we must not forget that "there are many opportunities for us to expand and grow in Colombia. there is a concern in the dairy sector of the country because the New Zealand industry is very powerful, "Rondón said.

For his part, Camilo Pérez Restrepo, Professor of the Department of International Studies of the Eafit University added that in the dairy sector of Mexico, "alarms have been established" for the eventual entry of these two countries, as well as Canada, because they are big milk producers. "We need to get favorable conditions for all," he said.

On Mila, the finance specialist and professor at the Universidad del Rosario Alejandro Useche emphasized the need for investors to have effective tools. allow them to hedge against currency risk. "The Alliance must also strive to better integrate the badets offered on its platform." Small and medium-sized Colombian investors continue to have TDCs or fixed-income securities as preferred badets, although that they can have access to local and especially international investment alternatives to the Mila, "stressed the academic, while stressing the importance of defining a common fiscal structure between the countries

The message of the elected president Iván Duque about the FTAs ​​is clear: "I will not negotiate again, in the next four years I will focus on those we have. "

The Ministry of the Interior pointed out that to continue to advance in trade facilitation, elimination of procedures and streamlining of processes through the single windows of foreign trade, the exchange digital certificates needed for operations, pave the way for regulatory harmonization in areas such as cosmetics, dietary supplements, biologics, pharmaceuticals and medical devices; insert the productive apparatus in Global Value Chains, Tasks.