ACTIVIDAD DE APRENDIZAJE 11

EVIDENCIA 3: ENSAYO “FREE TRADE AGREEMENT (FTA): ADVANTAGES AND

DISADVANTAGES”

POSTERIOR A ESTAS LECTURAS, ELABORE UN ENSAYO EN INGLÉS DE MÍNIMO

TRES (3) PÁGINAS, QUE DÉ RESPUESTA A LO SIGUIENTE:

 INVESTIGUE SOBRE LOS TRATADOS DE LIBRE COMERCIO QUE

COLOMBIA TIENE VIGENTES CON LOS ESTADOS UNIDOS.

 ESCRIBA LAS VENTAJAS Y DESVENTAJAS DE ESTOS TRATADOS PARA

COLOMBIA.

FREE TRADE AGREEMENT BETWEEN COLOMBIA AND THE UNITED STATES

On February 27, 2006 this Treaty between Colombia and the United States was finalized, after 21
months, 15 rounds and 100 meetings between the parties.

From May 15, 2012 came into force the Free Trade Agreement (FTA) signed by Colombia and the
United States with the aim of promoting trade between the two countries. The Treaty affects all
sectors of the economy and national productive life, including ICT.

Likewise, in terms of direct purchases of foreign products, citizens will have at their disposal
shopping lists, mostly free of tariffs, which can be accessed through e-commerce services. In this
case it must be taken into account that even when the entrance taxes can be eliminated, there will
always be shipping costs that can increase the final value of a product. Here the wholesale importers
have the chance to win because they will be able to offer the usual products, and others at a lower
price, and customers will be able to save tariffs and direct shipping costs.

In the United States, at the end of August 2006, President George W. Bush delivered the final text
of the agreement to the United States Congress for discussion and approval. Since April 2008, the
vote for approval was postponed after former President Bush sent the treaty untimely for approval,
which was considered undue pressure by the Democratic Party led by House Speaker Nancy Pelosi.

During the 2008 presidential campaign in the United States, the subject of the treaty came up on
occasion. The then candidate for the Republican Party of the United States John McCain expressed
his support in a televised debate, while the then candidate for the Democratic Party of the United
States President Barack Obama said that he does not think it appropriate while in Colombia the
violations persist. the human rights of trade unionists.5 On October 21, 2008, the Adviser for
Hemispheric Affairs of the Democratic campaign, Dan Restrepo, said that Obama understands the
importance of Colombia for the United States and that it could eventually reassess the convenience
of the treaty.

The delay in the final approval of the FTA, by the congresses of both countries, embarrassed the
exporters who enjoy the tariff benefits of the Law of Andean Tariff Preferences and Drug
Eradication (ATPDEA)

For its part, the Colombian Congress ratified the FTA, through law 1143 of July 4, 2007 and the
Constitutional Court, declared it adjusted to the constitution, on July 24, 2008, by means of the
judgment C-750 of 2008.8 In the beginning the treaty was approved in the Colombian Congress
with the refusal of the left and center-left opposition groups in the parties of the Alternative
Democratic Pole and the Colombian Liberal Party, but later the main opponent of this project would
be the Congress of the United States that did not approve it after the Democratic Party reached the
majority in the congress of that country and changed the positions in front of the policies of the
Bush government. Finally, the treaty between Colombia and the United States was approved by
the House of Representatives and the US Senate on October 12, 2011

The treaty was approved at the VI Summit of the Americas that took place in Cartagena from April
9 to April 15, 2012, and became effective on May 15, 2012

ADVANTAGES AND DISADVANTAGES

DISADVANTAGES

One of the major problems in Colombia, after the signing, is summarized in that the same
agreement causes an imbalance in the domestic economy and the lack of protection of productive
sectors that benefit little. There is a mismatch in terms of tax revenues, since by eliminating tariffs
on foreign products, they would no longer be receiving taxes for this concept, which could deepen
the national fiscal deficit. Finally, there is no capacity for adaptation of national companies against
international production standards, generating monopolies and market capture by the American
supply that enters the country.
Another aspect to be taken into account when signing a free trade agreement is the danger that less
developed countries, such as Latin American countries, generate a dependence in relation to
economic ties with the United States. There is no problem if the US economy is working; However,
there are problems when the US market consumes and buys the same amount of products,
endangering many exporters and companies in Latin American countries.

ADVANTAGES

In the first place, treaties between the United States and South American countries allow companies
in Latin countries to have a new and powerful market to sell their products. As an individual
country it has the most powerful purchasing power in the world. Therefore, it makes sense that the
governments of these countries want to give access to the US market, its companies and its
exporters.

Another important point for the Colombian government was the increased interest on the part of
the United States. A previous agreement was the ATPA, "Andean Trade Preferences Act," which
gave access to American markets with reduced tariffs in exchange for contributions in the fight
against drugs. With more investment from the US In the United States, Colombia hoped that
poverty would decrease due to better economic opportunities and infrastructure. In the first nine
months of 2016, 32.8% of Colombia's exports went to the US. UU In the same period, 26.5% of
imports in Colombia came from the USA. UU
 WEBGRAFIA

 https://es.wikipedia.org/wiki/Tratado_de_Libre_Comercio_entre_Colombia_y_Estados_U
nidos
 https://www.tercerainformacion.es/opinion/opinion/2018/07/05/analisis-de-las-ventajas-y-
desventajas-de-tratados-de-libre-comercio-entre-los-eeuu-y-paises-latinoamericanos

MARCELA SUAREZ LONDOÑO