Democratic Underground Latest Greatest Lobby Journals Search Options Help Login
Google

New Paper Finds Big Increase in Trade is Transforming Colombian-Venezuelan Relations

Printer-friendly format Printer-friendly format
Printer-friendly format Email this thread to a friend
Printer-friendly format Bookmark this thread
This topic is archived.
Home » Discuss » Places » Latin America Donate to DU
 
Judi Lynn Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Nov-16-10 01:07 PM
Original message
New Paper Finds Big Increase in Trade is Transforming Colombian-Venezuelan Relations
November 16, 2010
12:35 PM
CONTACT: CEPR
Dan Beeton, 202-256-6116

New Paper Finds Big Increase in Trade is Transforming Colombian-Venezuelan Relations
“The Gains From Trade” May Include a Peace Dividend

WASHINGTON - November 16 - Greatly increased commercial ties between Venezuela and Colombia are most likely the driving force in the recent reduction of diplomatic tensions between Venezuela and Colombia, a new paper from the Center for Economic and Policy Research argues. The paper, "The Gains From Trade: South American Economic Integration and the Resolution of Conflict," demonstrates that while Colombia’s exports to Venezuela more than doubled as a share of its total exports from 1999 to 2007, Colombian exports to Venezuela fell from 15.6 percent to just 3.6 percent during a period of profound diplomatic tension in 2009-2010, after Venezuela cut off Colombian imports in response to a planned military bases sharing arrangement with the United States.

“Peace and stability can be one of the most important gains from increasing trade and economic integration between neighboring countries,” said CEPR Co-Director and economist, and lead author of the paper. Mark Weisbrot said. “This appears to be the case in the recent thawing of relations between Venezuela and Colombia.”

The paper shows the loss of Colombia’s exports to Venezuela in 2009-2010 after Venezuela cut off Colombian imports: $2.3 billion in trade, or 11.2 percent of Colombia’s total exports. More importantly, the loss comprised more than 20 percent of Colombia’s non-fuel exports.

“The tendency of cross-border commerce to provide incentives for better and more stable diplomatic relations is undoubtedly a major reason that South America has pursued regional economic integration in recent years,” Weisbrot added. “This has been the growing trend since the region rejected Washinton’s “hub-and-spoke” model of “free trade” agreements, including the proposed Free Trade Area of the Americas,” said Weisbrot.

More:
http://www.commondreams.org/newswire/2010/11/16-5
Center for Economic and Policy Research (CEPR)
Printer Friendly | Permalink |  | Top
social_critic Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Nov-16-10 04:57 PM
Response to Original message
1. Santos is Smart
he's making sure the Venezuelans pay the debt they owe to Colombian exporters. And Venezuela could use the food imports because the Venezuelan agricultural sector isn't doing well - farmers who think they're about to be nationalized don't like to invest to see their property taken away.
Printer Friendly | Permalink |  | Top
 
Bacchus39 Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Nov-17-10 04:31 PM
Response to Reply #1
3. yep, Venezuela needs the products and Colombia wants the cash n/t
s
Printer Friendly | Permalink |  | Top
 
Peace Patriot Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Nov-17-10 03:33 PM
Response to Original message
2. RWers may think that Santos is "smart," and he may indeed be shrewd, but...
it is the rest of South America--the countries that have elected LEFTIST governments--that is truly smart. They have been working on economic/political integration for the last decade, with Colombia standing out as a sore thumb for putting a DRAG on integration. It is Venezuela--as the avant garde of cooperation, mutual aid and integration--and its LEFTIST allies--Brazil, Argentina, Bolivia, Ecuador, Uruguay, Paraguay, Nicaragua and others--who have LED ALL THE WAY in creating cooperative institutions, such as UNASUR and ALBA, and cooperative projects, such as oil for doctors with Cuba and other innovative trade. It would NOT HAVE HAPPENED if South America was still ruled by fascists, whose chief characteristics are selling their countries, their resources and slave labor populations to U.S. multinational corporations and oppressing their own people, with the murder and mayhem of the corrupt, failed U.S. "war on drugs." Colombia--and now Honduras--are the dinosauric remnants of the Reagan/Bush era--U.S. client states who gladly made themselves into footstools for U.S. aggression against their neighbors. Their fascist leaders have welcomed "divide and conquer."

It was Colombia, a U.S. client state (with $7 BILLION in U.S. military aid), that was trying to make this into a war, with the bombing/raid on Ecuador in 2008, the Colombian military-hatched assassination plot against Chavez in 2007, the utter treachery against Chavez on the FARC hostage release negotiations, and Uribe's wild, unfounded accusations against Venezuela, that it was "harboring" FARC guerrillas, in his last days in office. It may be shrewd of Santos to back off from this belligerence--given that the U.S. is now bankrupt, and given the filthy corruption and mass murder of the Uribe/Bushwhack regime that keeps leaking out about Colombia, and also given the need for democracy cosmetics to get U.S./Colombia "free trade for the rich" through Congress--but shrewd is not moral. It does not represent a commitment to fairness, social justice or peace--the essentials of general prosperity for Latin America. It is merely pragmatism.

Businessmen may be getting paid off, but 22 more trade unionists have been murdered in Colombia, since Santos took power--adding to the hundreds of trade unionists murdered over the last decade, and thousands total of labor leaders, human rights workers, teachers, community activists, journalists, peasant farmers and others, murdered by the Colombian military and its closely tied rightwing death squads. The beneficiaries of these deaths and of other Colombian state terror--such as the 5 MILLION peasant farmers who have been driven from their farms--have been Chiquita, Monsanto, Drummond Coal, Exxon Mobil, Occidental Petroleum, Dyncorp, Blackwater and the entire zoo of U.S. multinational evildoers, as well as the local rich fascist elite and the protected drug lords in Colombia, all of whom retain power over Colombia's land, resources and people.

Santos was Uribe's Defense Minister during a portion of the Uribe carnage. He is CIA-vetted and remains a tool of U.S. interests. Venezuela and its many allies have time and again sought peace with Colombia, because peace (including ousting the U.S. military and the U.S. "war on drugs" from the region) is essential to Latin American integration and to Latin America's future. Despite this current hiatus, Colombia remains a real threat to peace in the region. I'm glad for peace--truly glad. Nothing good can happen without it. But Colombia is still bristling with armaments, still a U.S. client state and still extremely oppressive. And it can be "turned" at any time that the fascist forces here decide to "turn" it--toward war. And I frankly don't think that Santos would be any obstacle to U.S. war plans--nor to other, less-than-war plans of aggression, such as destabilization, "dirty tricks" and other means of toppling the Chavez government, which has been such a strong stalwart against U.S. re-conquest of its "back yard."
Printer Friendly | Permalink |  | Top
 
Judi Lynn Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Nov-18-10 06:17 PM
Response to Reply #2
4. He was so smart he was able to be born into one of Colombia's wealthiest families,
and enter life as a very large fish in a very harsh, totally elitist caste system, just like his cousin, Franciso, Uribe's former Vice President.

http://cache.daylife.com.nyud.net:8090/imageserve/03L96KI00Bh2x/610x.jpg

Former Vice President Francisco Santos, Uribe, former Defense Minister Juan Manuel Santos.

It helps anyone win an election when his family owns the largest newspaper in the entire country!
Printer Friendly | Permalink |  | Top
 
social_critic Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Nov-18-10 06:32 PM
Response to Reply #2
5. What economic integration?
I'd like to hear about this economic integration you talk about.
Printer Friendly | Permalink |  | Top
 
Judi Lynn Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Nov-18-10 07:09 PM
Response to Reply #5
6. If you're ignorant of the economic/political integration which has been underway in South America,
that's not Peace Patriot's fault.

You owe it to yourself to be informed on what has been happening FOR YEARS. This is something YOU have to do. It's YOUR responsibility.

As a starting point:
Union of South American Nations

The Union of South American Nations (Dutch: Unie van Zuid-Amerikaanse Naties (help·info) - UZAN, Portuguese: União de Nações Sul-Americanas - UNASUL, Spanish: Unión de Naciones Suramericanas - UNASUR) is an intergovernmental union integrating two existing customs unions: Mercosur and the Andean Community of Nations, as part of a continuing process of South American integration. It is modeled on the European Union.

The Unasur Constitutive Treaty was signed on May 23, 2008, at the Third Summit of Heads of State, held in Brasília, Brazil.<5> According to the Constitutive Treaty, the Union's headquarters will be located in Quito, Ecuador. The South American Parliament will be located in Cochabamba, Bolivia, while the headquarters of its bank, the Bank of the South are located in Caracas, Venezuela.<6>


On 4 May 2010, at an extraordinary heads of state summit held in Campana, 75 km (47 mi) north of Buenos Aires, former Argentine President Néstor Kirchner was unanimously elected the first Secretary-General of UNASUR for a two-year term, providing Unasur with a defined political leadership on the global stage. This new office was conceived as a first step towards the establishment of a permanent bureaucratic body for the supranational union, eventually superseding Mercosur and CAN political bodies. Although the Secretariat headquarters were originally planned to be located at Quito, Ecuador, it was reported that it will probably start operating at Buenos Aires, Argentina.<2><7>
More:
http://en.wikipedia.org/wiki/Union_of_South_American_Nations



Printer Friendly | Permalink |  | Top
 
Peace Patriot Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Nov-18-10 08:47 PM
Response to Reply #5
7. Oh, dear, social_ critic! Where have you BEEN?
Where were you when Argentina needed oil, Venezuela needed beef, and they traded?

Where were you when several countries' economies were being destroyed by the World Bank/IMF and Venezuela helped bail them out (seed of the Bank of the South), driving those U.S./European loan sharks out of the region?

Where were you when Hugo Chavez began meeting monthly with Lula da Silva to foster regional integration as well as bilateral projects?

Where were you at the opening of the new Orinoco Bridge between Venezuela and Brazil?

Where were you when BOTH Venezuela and Brazil opened trade relations with Iran and invited Iran's president to visit their countries--in what was clearly a coordinated economic/political strategy to de-isolate Iran and help foil U.S. war plans?

Where were you when Lula da Silva demanded the same conditions for exploitation of Brazil's new oil find, as Chavez had demanded in Venezuela--majority state control of the project, and a substantial percentage of the profits to be used for bootstrapping the poor?

Where were you when Honduras needed oil--among other things, to lower the price of bus tickets for poor workers--and Venezuela provided it, in the context of the ALBA trade group that Venezuela, Cuba, Nicaragua and others had formed, which has the express purpose of economic integration among member countries, mostly in the Central American/Caribbean region, in opposition to U.S. "free trade for the rich"?

Where were you when Venezuela traded oil for doctors with Cuba?

Where were you when UNASUR was formalized, with the express purpose of South American economic/political integration?

Where were you when its first president, Michelle Batchelet of Chile, activated UNASUR, in its first months of existence, to back up the Morales government in Bolivia, in the face of a U.S.-funded/supported, violent, white separatist insurrection?

Where were you when Bolivia's chief gas customers, Argentina and Brazil, in concert with UNASUR, made it very clear to the white separatists in Bolivia that Argentina and Brazil would not trade with a separatist government, most especially as to the gas resource that the white separatists were trying to steal from their countrymen and the Morales government?

Where were you when Batchelet acted to settle a 100-year dispute with Bolivia, over Bolivia's access to the sea?

Where were you when Venezuela's Chavez government provided negotiation experts to help Bolivia's president, Evo Morales, re-negotiate Bolivia's gas contracts, resulting in DOUBLING of Bolivia's gas revenues, with the profits to be used to bootstrap the poor? (--expertise that the Chavez government gained from dealing with Exxon Mobil in Venezuela.)

Where were you when Brazil, Venezuela and other countries pledged the money to build a new highway across South America, from the Atlantic to the Pacific, through Bolivia--which will make Bolivia a major trading hub for the Global South?

Where were you when Brazil's Lula da Silva pressured Brazilian hydroelectric companies to agree to re-negotiate Paraguay's hydroelectric contracts, which were unfair to Paraguay and its very poor majority?

Where were you when Mercosur was created--a trade integration group, pre-dating UNASUR, which requires political actions by member governments to unify their political/legal systems, such as, a) No member country may grant diplomatic immunity to foreign (i.e., U.S.) troops, and b) No member country may deny official extradition requests (no more immunity for escaped rightwing dictators in Paraguay). Paraguay had to change its laws in order to join Mercosur for trade purposes--an excellent example of what economic/political integration means.

There are numerous other examples of the growth of economic and political integration in Latin America. It is a very powerful movement that is aimed at an EU-type structure and common market, and even--as proposed by Brazil--a common defense. Numerous economic projects, financial deals, mutual aid, political actions and meetings are preceding it. UNASUR will likely be the vehicle in South America. It has a rotating president (heads of state) and headquarters in La Paz, Bolivia. All South American countries have membership, even Colombia. UNASUR was the meeting place for discussions of the secretly negotiated U.S./Colombia military agreement, that so many of Latin America's leaders objected to. UNASUR was the meeting place for emergency measures taken to support the Morales government in Bolivia, and again to support Rafael Correa's government in Ecuador, during the recent coup attempt. UNASUR is South America's "common ground," in lieu of the failed OAS (failed largely because it serves mostly U.S. interests).

The Central American/Caribbean region is not as unified on this goal as South America, because the U.S. has been more successful at inflicting "free trade for the rich" and U.S. militarization ("free trade for the rich" enforcement) on the Central American/Caribbean region, and the success of the ALBA trade group clearly terrified U.S. multinationals and war profiteers, resulting in the rightwing coup d'etat in Honduras, which then exited ALBA, and in U.S. military maneuvers in Costa Rica. U.S. multinationals and war profiteers don't want fair trade, a level playing field or real democracy in their subject countries. They want slaves. But the desire is there, in most Latin American countries, to be free to U.S. exploitation and bullying, and the only way to do that is to pull together, to create trade groups, to have each other's backs politically and eventually to form a common market that excludes the U.S. (if the U.S. continues its exploitation and bullying).

This is a movement whose time has come. It was first envisioned by Simon Bolivar in his dream of a "United States of South America." Latin America is approaching it in fits and starts, but they are, finally, aiming for it seriously. It is the only answer for them. The U.S. has made each of them into chattels, with "divide and conquer" and with brutal dictatorships. They must pull together. They know this. Chavez has been the leader of this movement from the beginning. He and his government were the innovators and the courageous thinkers, at first all alone in the hemisphere. But leaders like Chavez and da Silva also have an almost preternatural understanding that it cannot be a rivalry--it cannot operate on the principles of savage capitalism. It cannot mean that one Latin American country prospers at the expense of another. It must be cooperative. And it must include "raising all boats"--bigger, richer countries helping smaller, poorer ones.

This is why Chavez has gone way out on a limb, on several occasions, to make peace with Colombia, despite its status as a militarized U.S. client state. He offered Uribe a new Venezuela-Colombia railroad and many other joint projects. Uribe, too much in the Bush Junta's grip, turned viper. Now Chavez has re-opened trade with Colombia, with its new leadership, to the benefit of both countries. Latin Americans need to pull together. United, they are a powerhouse. Divided, they are slaves.

How you can be blind to all this, I don't know. "What economic integration?" you ask. Do you have eyes? Can't you read? But, of course, this is the very thing that corpo-fascist 'news' monopolies want to keep their readers from understanding. You have to pay attention, read between the lines, seek out alternative news sources and dig for this information. They won't hand it to you on a silver platter. They won't hand it to you at all. They will do their best to blind you to it. This is the chief reason why they hate Chavez so much--because he started the integration movement and is its most advanced advocate--a movement that can give Latin America collective clout visa vis its U.S. and European corporate and financial ravagers. Simon Bolivar's dream--and oh, boy, they don't want this to happen! They will do almost anything to stop a prosperous, integrated, independent, democratic Latin America, including outright war.
Printer Friendly | Permalink |  | Top
 
Judi Lynn Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Nov-18-10 09:37 PM
Response to Reply #7
8. It's necessary to bookmark this thread to save your post!
Your ability to pinpoint the important accomplishments is abnormally keen!

I need to keep the post as a quick access to great goals already achieved taking South America out of the deep, painful hole it occupied ever since the fascists with US assistance controled the entire region so long, so crudely, so violently. Russia couldn't have been more vicious.

MOST of the world is pulling for the continent as it developes solidarity.
Printer Friendly | Permalink |  | Top
 
DU AdBot (1000+ posts) Click to send private message to this author Click to view 
this author's profile Click to add 
this author to your buddy list Click to add 
this author to your Ignore list Mon May 06th 2024, 09:35 AM
Response to Original message
Advertisements [?]
 Top

Home » Discuss » Places » Latin America Donate to DU

Powered by DCForum+ Version 1.1 Copyright 1997-2002 DCScripts.com
Software has been extensively modified by the DU administrators


Important Notices: By participating on this discussion board, visitors agree to abide by the rules outlined on our Rules page. Messages posted on the Democratic Underground Discussion Forums are the opinions of the individuals who post them, and do not necessarily represent the opinions of Democratic Underground, LLC.

Home  |  Discussion Forums  |  Journals |  Store  |  Donate

About DU  |  Contact Us  |  Privacy Policy

Got a message for Democratic Underground? Click here to send us a message.

© 2001 - 2011 Democratic Underground, LLC