Entered into at Quito, Ecuador, on 20 December, 1994, enacted through Supreme Decree Nº 1967 issued by the Ministry of Foreign Affairs on 28 December, 1994 and published in the Official Gazette on 18 May, 1995. This Agreement entered into force on 1 January, 1995.

This Agreement was subscribed under the 1980 Montevideo Agreement, which established Asociación Latinoamericana de Integración (ALADI). The aim of the Agreement is to establish an extended economic space to allow for the free circulation of goods, services and factors of production.

The Agreement is comprised of 23 Chapters and 5 Annexes. The rules contained therein govern matters such as the liberalization program, disloyal trade practices, safeguards, technical rules, technological and scientific cooperation, phytosanitary and zoo-sanitary rules, sea and land transportation, settlement of disputes, automobile sector and Government acquisition, among others.

One of the Annexes contains a Cooperation and Coordination Agreement in Agricultural and Livestock Matters, entered into by both country s Ministries of Agriculture.

The rules of origin and customs procedures are governed by Resolution Nº 78, which contains ALADI s Origin Regimen, the arranged and consolidated text of which is found in Resolution Nº 252, dated 4 August, 1999.

The Agreement comprises five Annexes, where the signatory countries make the commitment to liberate mutual trade no later than 1 January, 2000.

Presently, there is 100% tariff preference, except for Annex 3, which contains a list of products that are not subject to tax reduction.

» Text of the Agreement