CELAC-EU BUSINESS SUMMIT CONCLUSIONS: RHETORIC OR REAL ACTION PLAN?

About of a thousand business and political leaders of Latin America, the Caribbean (CELAC) and the European Union (EU), met for three days (24, 25 and 26 of January) in Santiago, Chile to share points of views on how integrate the economic growth with the social inclusion, the environment and the human capital development.
 

The appoinment was the IV CELAC-EU Business Summit 2013 and was held in the frame of the meeting of leaders of the member countries of both regional blocs, also held in late January in Chile.
 

The organizing committee of the multilateral meeting of businessmen, headed by Rafael Guilisasti and by the President of the Confederation of Production and Commerce of Chile (CPC), Lorenzo Constans, summed up the meeting in a document with concrete proposals in four areas: environment and sustainable development, SME’s, human capital and commitment to democratic values.
 

Along with Chilean business leaders, there also participated in the drafting and approval of “Business statement”, their peers from the guilds of private enterprices of Spain, CEOE and Vice-president of Businesseurope, Juan Rosell; of Peru, Humberto Speziani (Confiep); of Honduras, Aline Flores (Cohep), of Argentina, José Ignacio de Mendiguren (UIA), the President of Eurochambres, Alessandro Barberis; among other important business leaders.
 

This “Business statement” will be given to more of the 40 Heads of State and Government like a “sector commitment to collaborate actively with bi-regional policies that promote the social cohesion and the economic development of the countries as essential tools to eradicate poverty, to improve the access to a society of knowledge and to contribute to the development of human capital, pillar which is fundamental for the construction of more democratic, fair and free societies.”

Conclusions of the Celac EU Business Summit

1. The alliance between the European Union and Latin America and the Caribbean is strategic and represents a commitment to bi-regional collaboration that must be maintained and promoted by Governments, incorporating the private sector at all times as a catalyst for global economic development.

2. It is vital that governments consider the values of liberty, legal certainty and democracy when taking any decisions, understanding that democracy must be an expression of popular will, respectful of the rule of law and the separation of powers, and with political alternation in the power held by leaders. In order to achieve economic growth, there must exist conditions for transparent and stable investment, respecting the Rule of Law at all times. There must be guarantees for fair and equal treatment of investors, not allowing inequality between foreign and national investors.

3. The development of the economies of countries must occur through respect for the environment, and there must always be a balance between economic growth and protection of the environment.

4. The Business Summit advocates the establishment of a legal framework that would encourage the creation and subsequent development of sustainable small and medium-sized enterprises, and the adoption of public policies that are specific and adapted to the real needs of SMEs.

5. The main challenges facing countries in this context are related to the elimination of differences in productivity, levels of internationalization and production chains.
 

6. In order to overcome these challenges, the Business Summit proposes additional technological innovation in areas with growth projection possibilities, establishing integrated development programs that lead to the creation of online networks and platforms for knowledge, access to information, exchange of experience and models and worker training, generating reciprocal opportunities for commerce and investment and overcoming legal asymmetry.

7. Adequate protection of intellectual property constitutes an essential axis to guaranteeing the innovation and technology transfer that are vital to the development of a sustainable economy.

8. Investment in human talent constitutes a fundamental factor for guaranteeing economic development over the long term, and it is a fundamental tool for attaining equal opportunities and overcoming poverty. In order to attain this objective, it is necessary to design a training strategy that is in line with society’s needs, and which is defined with the active participation of business organizations, both to favor the insertion of young people in the labor market and to ensure continuous training for professionals in order that they can adapt to the needs of the market. It is also essential to focus academic training more intensely on the branches of science, engineering and technology.

9. The Business Summit supports the balanced opening of markets as the best way to boost commerce and investment, and rejects any type of measures of a protectionist nature. The Business Summit therefore advocates the reactivation of the negotiations of the Doha Development Round and the conclusion of a first agreement to facilitate commerce as well as negotiations for an EU – MERCOSUR Free Trade Agreement that would intensify and mobilize economic relations between the European Union and the region.

10. It is vital that governments consider the values of liberty, legal certainty and democracy when taking any decision. In order to achieve economic growth, there must exist conditions for transparent and stable investment, respecting the Rule of Law at all times. There must be guarantees for fair and equal treatment of investors, not allowing inequality between foreign and national investors.

11. In order to overcome the crisis which to a greater or lesser degree is affecting the two regions, the Business Summit proposes a more central role for the private business sector to guarantee effective development and inclusive growth. This demands putting into practice the aforementioned policies and measures, which will support the business sector in general and SMEs in particular. In the face of this challenge, the business sectors of the EU and ALC, instead of competing, need to become allies, necessary collaborators in a common project; that of generating richness and employment and promoting sustainable development that is effective in the fight against poverty and inequality.