I know the ambassador of Chile, His Excellency, Alberto Yoacham, who I am pleased to see here. I addressed the committee on 29 April concerning this agreement and members had an exchange of views on it. I was pleased to note that, in winding up the discussion on that occasion, the Chairman pointed out that there was strong support for the agreement among the members of the committee.
Like Ireland, Chile has made outstanding economic progress in recent years, as evidenced by high growth rates, a reduction in external debt and inflation and falling unemployment levels. Trade between Ireland and Chile is growing significantly. Total trade was valued at just under €74 million last year, which represents a fourfold increase since 1990. I hope trade between our two countries will continue this dynamic trend and that the association agreement will contribute to even greater growth. Ireland and Chile are both very dependent on foreign trade and greater economic links will be an important part of our future relationship. Although in the past our economic co-operation has been restricted by distance and difficulties of communication, recent advances in information technology and communications will help us overcome these problems.
We welcome trade missions to Ireland and look forward to the state visit in July of President Lagos, who will be accompanied by a delegation of businessmen. This will be an important step in exploring partnerships between Irish and Chilean companies. Subject to the formal approval of Dáil Éireann, the Government wishes to have this agreement ratified on behalf of Ireland prior to the commencement of the state visit. It was ratified by Chile on 28 January last and it seems likely that Ireland will be the first of the 15 member states of the EU to ratify it - if not the first, certainly among the first, as none has ratified it up to today. When Ireland assumes the Presidency of the European Union on 1 January next, we shall as a matter of policy encourage any of our partners who have not yet ratified by that time to take urgent steps to do so.
Relations between the EU and Chile were until recently based mainly on a framework co-operation agreement which was signed in 1996 and entered into force on 1 February 1999. Negotiations on an association agreement between the EU and Chile were launched in November 1999 and, following a number of intensive rounds of discussions, successfully concluded in April 2002. The text of the agreement was initialled by both sides on 10 June 2002 in Brussels and signed in the margins of the meeting of the General Affairs and External Relations Council in Brussels on 18 and 19 November 2002. As the EU-Chile association agreement involves what is called mixed competence, it confers particular rights and obligations on the member states of the EU with regard to its implementation. Each member state, in addition to the European Community, is therefore required to become a party to it. This requirement necessitates ratification by each of the 15 member states and Chile. The ratification process, based on experience, may take some considerable time and pending its completion and the formal entry into force of the agreement, those of its provisions which fall within the exclusive competence of the European Community - essentially the provisions relating to trade and economic issues - are being applied on the basis of an interim agreement which entered into force on 1 February 2003.
The EU-Chile association agreement is wide-ranging and based on respect for democratic principles and fundamental human rights. The promotion of sustainable economic and social development and the equitable distribution of the benefits expected to flow from the agreement will be guiding principles governing its application. It will establish a political and economic association among the EU, the member states and Chile based on reciprocity, shared interests and the deepening of the relationship in all areas of its application, including the political, commercial, economic and financial, scientific, technological, social and cultural fields. It may be extended to other areas to be agreed by the respective parties. An association council, to be composed of the President of the Council of the European Union, assisted by the Secretary General or high representative, the incoming Presidency, other members of the Council or their representatives, representatives of the European Commission and the Minister for Foreign Affairs of Chile will be established. The council will meet at regular intervals and will, in turn, be assisted by an association committee made up of senior officials. This committee will meet once a year and its first meeting is expected to take place in November.
The agreement establishes an association parliamentary committee, composed of Members of the Chilean National Congress and the European Parliament, which will meet at intervals to be determined in order to exchange views. Also established in the institutional framework will be a joint consultative committee, intended to assist the association council in promoting dialogue and co-operation between various non-governmental organisations. Under the terms of the agreement, the EU and Chile agree to reinforce dialogue on international issues of mutual interest, with the aim in particular of promoting and defending democratic values, including human rights, freedom of the individual and the rule of law. Dialogue will take place either within the association council or on other agreed occasions. Provision is made for regular meetings at the level of Heads of State and Government and between other Ministers as appropriate.
The agreement also provides for co-operation in foreign and security policy, including co-ordination of positions in international forums. There is a specific provision for co-operation in combating terrorism in accordance with UN Security Council Resolution 1373 and relevant international conventions and instruments. The agreement includes provisions for co-operation aimed at strengthening institutional capacity to underpin democracy, the rule of law and respect for human rights and fundamental freedoms and for promoting social development. It includes provision for very wide-ranging co-operation in the areas of trade and economic issues. There is provision for co-operation on science, technology, information technology and telecommunications. Co-operation is also provided for in the areas of culture and education, including training, and in the audio-visual field.
The association agreement, when it enters into force, will be for an unlimited term but it may be denounced by either party on giving six months notice to the other. The Government believes that this agreement will without doubt lead to a strengthening of Ireland's already close and friendly relations with Chile. It also represents a further important step in the development of EU relations with the Latin American region. The development of these relations will be a key focus of the Irish Presidency of the EU next year, when the Taoiseach and President Fox of Mexico co-chair the third EU, Latin America and Caribbean summit in Mexico in May 2004. I therefore commend this agreement to the committee and thank the Chairman and committee members.
