Bolivia - Trade AgreementsBolivia - Trade Agreements
Bolivia’s accession to the General Agreement on Tariffs and Trade (GATT) was ratified in September 1990, with ratification of Bolivia’s membership in the World Trade Organization (WTO) following in 1995.
Bolivia is a member of the Andean Community (CAN) with Colombia, Ecuador, and Peru. The CAN agreement has significantly reduced most internal trade barriers between these countries.
Along with Chile, Colombia, Ecuador, and Peru, Bolivia is also an associate member of the Common Market of the South (Mercado Común del Sur, or MERCOSUR) group. The Bolivian government subscribed in December 2012 to the Mercosur incorporation protocol, which makes it the sixth member of the regional group. Its full membership will take effect once the legislative bodies of the other full members ratify the protocol.
The full members include Argentina, Brazil, Paraguay, Venezuela, and Uruguay. MERCOSUR has virtually eliminated tariff and non-tariff barriers on most intra-regional trade between members with the implementation of a Common External Tariff (CET) system. Associate members enjoy tariff reductions, but are not subject to the CET system.
Since 1993, Bolivia has had a "complementary agreement" with Chile (Acuerdo de Complementación Económica, commonly referred to as ACE 22). Since 2010, Bolivia has also had a complementary agreement with Mexico (Acuerdo de Complementación Económica or ACE 66). These agreements eliminate or reduce tariffs on explicit lists of products.
Bolivia is also a member of the April 2006 "Peoples’ Trade Agreement" (Alternativa Bolivariana para los pueblos de América or ALBA). Through the agreement, member countries give each other preferential treatment in specific sectors. In reality, little trade has actually been transacted under this agreement, in part because of bureaucratic obstacles.
The European Union, Japan, Switzerland, Russia, Canada, Australia, New Zealand, Norway, and the United States allow many Bolivian exports to enter duty-free or at reduced duty rates under the Generalized System of Preferences (GSP).
Bolivia Trade Development and Promotion Trade Agreements