From Miami to Cartagena: nine lessons and nine challenges of the ftaa

In Miami in December 1994 the heads of State of 34 countries of the hemispheredecided to construct a Free Trade Area of the Americas (FTAA) by the year 2005. The initiativewas backed by an ambitious Plan of Action which gained further definition in declarationsof the hemisphere’s trade ministers in follow up meetings held in Denver and Cartagena. In effect, the preparatory process for the FTAA is now in gear with eleven intergovernmentalworking groups developing data bases, comparative studies, and recommendations for negotiationsin the traditional areas of market access (tariffs and non-tariff barriers) as well asthe so-called “new” issues like services, intellectual property, government procurement etc.Drawing on several objetive considerations and putting the FTAA project in perspective, thestudy concludes that while it is still in its initial stages of preparation for negotiations andnot free of problems, the FTAA process has been successful to date and indeed describes anumber of constructive lessons that can be drawn from the process concerning how to launchintegration initiatives. As this process deepens and passes into the negotiation and implementationstages, serious challenges will emerge. The study identifies nine challenges that rangefrom definition of the precise objectives of the governments regarding the basic shape of theFTAA to specification of institutional issues and the groundwork for public acceptance throughthe dissemination of adequate information to the public in general. JEL Classification: F15; F13; O19.