MERCOSUR

Joaquin Romero
Marcelo Moran

Background
Mercado Comun del Sur (Common Market of the South)
Custom Union: Brazil, Argentina, Paraguay, Uruguay,
and Venezuela (pending)
Biggest Trade Block in South America and 4 th
Worldwide

Origins
Treaty signed on March
26th 1991 by Brazil,
Argentina, Paraguay and
Uruguay
Treaty of Asuncion
Supplemented Brazil and
Argentinas already
established Treaty of
Buenos Aires.
Venezuela signed
agreement June 17 2006
(pending)

Objectives
Free Transit amongst
members
Elimination of
Custom Rights
TEC: Common
External Tariffs
World Economic
Power

MERCOSUR Population
Brazil makes up 80% of MERCOSUR
population (191,241,714)
Argentina (40,482,000) Venezuela
(26,414,826) Paraguay (6,821,306)
Uruguay (3,477,780)
Over 268 billion population combined

MERCOSUR and Latin

America
50% of Latin
Americas GDP
43 % of Population
59 % of Land Mass
50 % of its Industrial
Production
33% of total Foreign
Trade

Immigration
Brazil
Temporary Residency
Members and Associates

Criminal Record
Registration Fees
Passport

Permanent Residency
2 years for eligibility

The Venezuela Issue

Brazil

2 Year delayed acceptance

Itaipu treaty
Brazil will benefit from Venezuelas resources

Paraguay

Acceptance yet to be ratified

Pressure on Fernando Lugo
Political stress in Paraguay

Trade in Goods in the

World

Trade by Product

Trade in Commercial
Services

Foreign Direct
Investment

Mercosur trade with EU

Mercosur Members GDP

Uruguays GDP

Paraguays GDP

MERCOSUR EFFECTS
Stimulated cooperation among his
members

Renegotiaton of Debt
Signed a host of bilateral agreements
Supply of Oil
Banco del SUR

Conclusions
UNASUR

Union of South American Nations

Signed by Mercosur members
Originally signed in 2004
European Union

Brazil has benefited the most in MERCOSUR

MERCOSUR against FTAA