Mercosur keen on establishing good relations with the Arab states

Mercosur countries are firmly willing to strengthen relations with the Arab states, particularly with "countries like Morocco, which we know is well developed in the Maghreb," said Jose Martinez Lezcano, Paraguay foreign vice minister.

Lezcano told the Moroccan news agency MAP, in Asuncion, the relations between Morocco and Paraguay are excellent and distinguished by cordiality and friendship between their government and the agreements they signed.

The Paraguay official said a possible opening of an embassy of his country's in the Maghreb could be very useful, recalling the recent opening of Lebanon and Paraguay embassies in either country.

Talking of relations between Latin American and Arab states, he said Mercosur countries have negotiated sub-regional accords with economic groupings to ease trade in the framework of globalisation, noting that in this line Paraguay signed with Morocco an agreement to increase trade exchanges.

Lezcano said the Latin and Arab regions are preparing for a summit to develop their relations in various fields, recalling a ministers conference will be held next March in Marrakech, Southern Morocco, as a prelude to the summit.

Mercosur is administered by a treaty establishing a Common Market between the Argentine Republic, the Federal Republic of Brazil, the Republic of Paraguay and the Eastern Republic of Uruguay.

This common market involves the free movement of goods, services and factors of production between countries through, inter-alea, the elimination of customs duties and non-tariff restrictions on the movement of goods.

It establishes a common external tariff and the adoption of a common trade policy in relation to third States or groups of States, and the co-ordination of positions in regional and international economic and commercial forums.

The treaty coordinates macroeconomic and sectoral policies between the States Parties in the areas of foreign trade, agriculture, industry, fiscal and monetary matters, foreign exchange and capital, services, customs, transport and communications and any other areas that may be agreed upon, in order to ensure proper competition between the States Parties.