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The South American Community of Nations (CSN), the world's third largest regional bloc, came into existence Wednesday during a South American summit held in Cusco, Peru.
The CSN, which is only surpassed by the European Union (EU) and the North American Free Trade Agreement (NAFTA), covers over 17 million sq.km and involves 361 million inhabitants and a gross domestic product of US$970 billion.
Presidents and foreign ministers from 12 South American countries participated in the ceremony, during which they explained their plan of physical and political integration in the region, without addressing commercial targets, although the fusion of the Andean Community (ANCOM) and the Common Market of the South (MERCOSUR) is a fact.
ANCOM and MERCOSUR group nine of the 12 CSN countries, among which Chile belongs to both commercial blocs.
"In the last 30 years, we have sought a Latin America with the capacity for effective international action and we have not achieved it because the countries of South America have been scattered, not unified," Peruvian Foreign Minister Manuel Rodriguez said. "With this new community, Latin America will be fortified."
He also noted that the South American bloc will complement the Caribbean Community and the Central American Common Market.
In a preliminary step in October, South America's two major trading blocs signed pacts to gradually create a free trade zone across the continent. Those agreements unite the Andean Community, made up of Venezuela, Colombia, Ecuador, Peru and Bolivia, and MERCOSUR, composed of Argentina, Brazil, Paraguay and Uruguay, covering the eastern half of the continent.
Talks took place over months and there were reports of disputes, especially involving trade of agricultural products, getting in the way of agreements.
The Cusco meeting will not establish a timeframe for achieving results.
"If things turn out reasonably well, in 15 years we will have anew map in the region," Allan Wagner, secretary general of the Andean Community, said during a meeting of the smaller trade group on Tuesday.
In the political aspect, the CSN provides the member states with a functional space to promote the internal dialogue as well as a consensus basis for the members to face other regional organizations or nations with a cohesive and firm image.
Meanwhile, the South American integration will also strengthen the South American Regional Infrastructure-Integration Initiative (IIRSA), in effect since 2000, which has identified road, energy and other infrastructure projects that could start between 2005 and 2010.
Among the common aspirations of the bloc are the combat against hunger and poverty which affect 53 percent of the CSN population, drug trafficking and corruption as well as the fight for democratic governance and environmental protection.
It is the third meeting about the new group since 10 South American presidents first gathered in 2000 in Brazil to propose it. The first CSN summit is expected to be held in Brazil in 2005.
The 12 nations include Brazil, Argentina, Uruguay, Paraguay, Bolivia, Chile, Peru, Ecuador, Colombia and Venezuela, along with Guyana and Suriname, two countries that are participating for the first time.
(Xihhua News Agency December 9, 2004)
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