The Andean Community ( es, Comunidad Andina, CAN) is a free trade area with the objective of creating a
customs union comprising the
South American countries of
Bolivia
, image_flag = Bandera de Bolivia (Estado).svg
, flag_alt = Horizontal tricolor (red, yellow, and green from top to bottom) with the coat of arms of Bolivia in the center
, flag_alt2 = 7 × 7 square p ...
,
Colombia
Colombia (, ; ), officially the Republic of Colombia, is a country in South America with insular regions in North America—near Nicaragua's Caribbean coast—as well as in the Pacific Ocean. The Colombian mainland is bordered by the Car ...
,
Ecuador, and
Peru. The trade bloc was called the Andean Pact until 1996 and came into existence when the Cartagena Agreement was signed in 1969. Its headquarters are in
Lima,
Peru.
The Andean Community has 113 million inhabitants over an area of 4,700,000 km². Its
GDP has gone up to US$745.300 billion in 2005, including Venezuela, which was a member at the time. Its estimated
PPP of GDP for 2011 amounts to US$902.86 billion, excluding Venezuela.
Membership

The original Andean Pact was founded in 1969 by
Bolivia
, image_flag = Bandera de Bolivia (Estado).svg
, flag_alt = Horizontal tricolor (red, yellow, and green from top to bottom) with the coat of arms of Bolivia in the center
, flag_alt2 = 7 × 7 square p ...
,
Chile,
Colombia
Colombia (, ; ), officially the Republic of Colombia, is a country in South America with insular regions in North America—near Nicaragua's Caribbean coast—as well as in the Pacific Ocean. The Colombian mainland is bordered by the Car ...
,
Ecuador, and
Peru. In 1973 the pact gained its sixth member, Venezuela. In 1976 however, its membership was again reduced to five when Chile withdrew. Venezuela announced its withdrawal in 2006, reducing the Andean Community to four member states.
Recently, with the new cooperation agreement with
Mercosur, the Andean Community gained four new associate members:
Argentina,
Brazil,
Paraguay, and
Uruguay. These four Mercosur members were granted associate membership by the Andean Council of Foreign Ministers meeting in an enlarged session with the Commission (of the Andean Community) on July 7, 2005. This moves reciprocates the actions of Mercosur which granted associate membership to all the Andean Community nations by virtue of the Economic Complementarity Agreements (
Free Trade agreements
A free-trade agreement (FTA) or treaty is an agreement according to international law to form a free-trade area between the cooperating states. There are two types of trade agreements: bilateral and multilateral. Bilateral trade agreements occur ...
) signed between the CAN and individual
Mercosur members.
* Current members:
[
** (1969)
** (1969)
** (1969)
** (1969)
* Associate members:][
** (2005)
** (2005)
** (2005)
** (2005)
** (2006)
* Observer countries:]
**
**
**
* Former full members:
** (1973–2006), joined Mercosur
** (full member 1969–1976, observer 1976–2006, associate member since 2006)
Relationship with other organizations
The Andean Community and Mercosur comprise the two main trading blocs of South America. In 1999, these organizations began negotiating a merger with a view to creating a "South American Free Trade Area
The Union of South American Nations (USAN; es, links=no, Unión de Naciones Suramericanas, UNASUR; pt, links=no, União de Nações Sul-Americanas, UNASUL; nl, links=no, Unie van Zuid-Amerikaanse Naties, UZAN; French: ''Union des nations s ...
" (SAFTA). On December 8, 2004, the Andean Community (CAN) signed a cooperation agreement with Mercosur and they published a joint letter of intention for future negotiations towards integrating all of South America in a Union of South American Nations (USAN), patterned after the European Union.
During 2005, Venezuela decided to join Mercosur. Venezuela's official position first appeared to be that, by joining Mercosur, further steps could be taken towards integrating both trade blocs. CAN Secretary General Allan Wagner stated that the Venezuelan Foreign Minister Alí Rodríguez had declared that Venezuela did not intend to leave the CAN, and its simultaneous membership to both blocs marked the beginning of their integration.
However some analysts interpreted that Venezuela might eventually leave the CAN in the process. As Colombia and Peru signed free trade agreements with the United States, in protest the Venezuelan President Hugo Chávez
Hugo Rafael Chávez Frías (; 28 July 1954 – 5 March 2013) was a Venezuelan politician who was president of Venezuela from 1999 until his death in 2013, except for a brief period in 2002. Chávez was also leader of the Fifth Republ ...
indeed announced in April 2006 his country's withdrawal from the CAN, stating that the Community is "dead". Officials in Colombia and Peru expressed their disagreement with this view, as did representatives from Venezuela's industrial sector (Conindustria).
In spite of this announcement, Venezuela still had not formally completed all the necessary withdrawal procedures. According to Venezuela's Commerce Minister María Cristina Iglesias
María Cristina Iglesias is a Venezuelan politician and leader. She is the leader of the United Socialist Party of Venezuela. She is a two-time minister in the Government of Venezuela. She was first Minister for Labour and Social Security, she was ...
, the entire process was going to take up five years. Until then, Venezuela and its partners would remain bound by the effects of the community's preexisting commercial agreements.
During a visit to Colombia in August 2007, President Hugo Chávez was asked by the presidents of Ecuador and Bolivia to rejoin the Andean Community, and he responded that he would agree. Meanwhile, at that time the Mercosur's relations with Venezuela were weakening as Mercosur was not agreeing with some of the Hugo Chávez's proposals.
Eventually Venezuela achieved the full membership of the Mercosur in 2012, making the Mercosur bigger in number of members than the CAN for the first time.
In addition to CAN, Bolivia is also a member of the WTO
The World Trade Organization (WTO) is an intergovernmental organization that regulates and facilitates international trade. With effective cooperation
in the United Nations System, governments use the organization to establish, revise, and e ...
, UNASUR, and ALBA. Its attitude is considered crucial to relations between UNASUR and ALBA specifically, says Marion Hörmann, since Bolivia is traditionally seen as a mediator between the Andean countries and the rest of South America.
Furthermore, in December 7, 2012, the Bolivian nation was accepted by the Mercosur countries to start the incorporation protocols to achieve the Mercosur full membership in a matter of 4 years, receiving the proclamation of an ''accessing member'', and further consolidating itself as a strategic geopolitical nation.
History
Secretariat of the Andean Community in Lima
*The groundwork for the Community was established in 1969 in the Cartagena Agreement
*In 1973 Venezuela joins Andean Pact
*In 1976, Augusto Pinochet withdrew Chile from the Andean Pact claiming economic incompatibilities
*In 1979, the treaty creating the Court of Justice was signed, and the Andean Parliament
The Andean Parliament is the governing and deliberative body of the Andean Community. It was created on October 25, 1979, in La Paz (Bolivia), through the Constitutive Treaty signed by the chancellors of Bolivia, Colombia, Ecuador, Peru and Venez ...
which in principle was located in Lima, increated and the Andean Council of Foreign Ministers were created.
*In 1981 the Andean Parliament
The Andean Parliament is the governing and deliberative body of the Andean Community. It was created on October 25, 1979, in La Paz (Bolivia), through the Constitutive Treaty signed by the chancellors of Bolivia, Colombia, Ecuador, Peru and Venez ...
moves to Bogotá
Bogotá (, also , , ), officially Bogotá, Distrito Capital, abbreviated Bogotá, D.C., and formerly known as Santa Fe de Bogotá (; ) during the Spanish period and between 1991 and 2000, is the capital city of Colombia, and one of the larges ...
.
*In 1983, the treaty creating the Court of Justice entered into effect
*In 1991, the presidents approved the open skies policy and agree to intensify integration
*In 1992, Peru temporarily suspended its obligations under the Liberalization Program
*In 1993, the Free Trade Zone entered into full operation for Bolivia, Colombia, Ecuador, and Venezuela
*In 1994, the Common External Tariff was approved
*In 1996, the Cartagena Agreement Commission approved the regulatory context for the establishment, operation, and exploitation of the Simón Bolívar Satellite System
*In March 1996, through the Trujillo Protocol, institutional reforms were introduced: The Andean Community was created and the Andean Integration System was established.
*In 1997, an agreement was reached for Peru's gradual incorporation into the Andean Free Trade Zone
*In 1998, the Framework Agreement for the creation of a Free Trade Area between the Andean Community and the Mercosur was signed in Buenos Aires
*In 2000, a meeting of the South American Presidents, at which the Andean Community Heads of State and Mercosur decide to launch negotiations for establishing a free trade area between the two blocs as rapidly as possible and by January 2002 at the latest
*In August 2003, the Andean Community and Mercosur Foreign Ministers, during a meeting in Montevideo
Montevideo () is the Capital city, capital and List of cities in Uruguay, largest city of Uruguay. According to the 2011 census, the city proper has a population of 1,319,108 (about one-third of the country's total population) in an area of . M ...
at which the CAN delivered a working proposal containing guidelines for the negotiation, reaffirmed their governments' political determination to move ahead with the negotiation of a free trade agreement between the two blocs
*In April 2006 President Hugo Chávez
Hugo Rafael Chávez Frías (; 28 July 1954 – 5 March 2013) was a Venezuelan politician who was president of Venezuela from 1999 until his death in 2013, except for a brief period in 2002. Chávez was also leader of the Fifth Republ ...
announced that Venezuela would withdraw from the Andean Community, claiming the FTA agreements signed by Colombia
Colombia (, ; ), officially the Republic of Colombia, is a country in South America with insular regions in North America—near Nicaragua's Caribbean coast—as well as in the Pacific Ocean. The Colombian mainland is bordered by the Car ...
and Peru with the United States caused irreparable damage to the community
*On 23 March 2017, a Memorandum of Understanding was signed between the Andean Community and the Eurasian Union
The Eurasian Economic Union (EAEU or EEU)EAEU is the acronym used on thorganisation's website However, many media outlets use the acronym EEU. is an economic union of some post-Soviet states located in Eurasia. The Treaty on the Eurasian Econo ...
*On 21 February 2020, disputed interim president of Venezuela Juan Guaidó announced Venezuela's reentry into CAN
Organization
* Andean Presidential Council
* Andean Foreign Relations Ministers Council ( Lima, Peru)
* Commission ( Lima, Peru)
* Headquarters ( Lima, Peru)
* Andean Court of Justice (Quito
Quito (; qu, Kitu), formally San Francisco de Quito, is the capital and largest city of Ecuador, with an estimated population of 2.8 million in its urban area. It is also the capital of the province of Pichincha. Quito is located in a valley o ...
, Ecuador)
* Andean Parliament
The Andean Parliament is the governing and deliberative body of the Andean Community. It was created on October 25, 1979, in La Paz (Bolivia), through the Constitutive Treaty signed by the chancellors of Bolivia, Colombia, Ecuador, Peru and Venez ...
(Bogotá
Bogotá (, also , , ), officially Bogotá, Distrito Capital, abbreviated Bogotá, D.C., and formerly known as Santa Fe de Bogotá (; ) during the Spanish period and between 1991 and 2000, is the capital city of Colombia, and one of the larges ...
, Colombia
Colombia (, ; ), officially the Republic of Colombia, is a country in South America with insular regions in North America—near Nicaragua's Caribbean coast—as well as in the Pacific Ocean. The Colombian mainland is bordered by the Car ...
)
* Latin American Reserve Fund (Bogotá
Bogotá (, also , , ), officially Bogotá, Distrito Capital, abbreviated Bogotá, D.C., and formerly known as Santa Fe de Bogotá (; ) during the Spanish period and between 1991 and 2000, is the capital city of Colombia, and one of the larges ...
, Colombia
Colombia (, ; ), officially the Republic of Colombia, is a country in South America with insular regions in North America—near Nicaragua's Caribbean coast—as well as in the Pacific Ocean. The Colombian mainland is bordered by the Car ...
and Lima, Peru)
* Simón Bolívar Andean University (Sucre
Sucre () is the Capital city, capital of Bolivia, the capital of the Chuquisaca Department and the List of cities in Bolivia, 6th most populated city in Bolivia. Located in the south-central part of the country, Sucre lies at an elevation of . T ...
, Bolivia
, image_flag = Bandera de Bolivia (Estado).svg
, flag_alt = Horizontal tricolor (red, yellow, and green from top to bottom) with the coat of arms of Bolivia in the center
, flag_alt2 = 7 × 7 square p ...
and Quito
Quito (; qu, Kitu), formally San Francisco de Quito, is the capital and largest city of Ecuador, with an estimated population of 2.8 million in its urban area. It is also the capital of the province of Pichincha. Quito is located in a valley o ...
, Ecuador)
*Andean Health Organization ( Lima, Peru)
*CAF – Development Bank of Latin America
The Corporacion Andina de Fomento (CAF) – Banco de Desarrollo de América Latina ( pt, Corporação Andina de Fomento (CAF) – Banco de Desenvolvimento da América Latina, is a development bank that has a mission of stimulating sustainable deve ...
(Caracas
Caracas (, ), officially Santiago de León de Caracas, abbreviated as CCS, is the capital and largest city of Venezuela, and the center of the Metropolitan Region of Caracas (or Greater Caracas). Caracas is located along the Guaire River in the ...
, Venezuela)
Secretaries-General
* Sebastián Alegrett ( Venezuela) 1997–2002
* Guillermo Fernández de Soto
Guillermo John Roque Fernández de Soto Valderrama (born 27 September 1953) is a Colombian lawyer and diplomat, who has served as Secretary General of the Andean Community of Nations, Minister of Foreign Affairs of Colombia, Ambassador of Colomb ...
(Colombia
Colombia (, ; ), officially the Republic of Colombia, is a country in South America with insular regions in North America—near Nicaragua's Caribbean coast—as well as in the Pacific Ocean. The Colombian mainland is bordered by the Car ...
) 2002–2004
* Edward Allan Wagner Tizón ( Peru) 2004–2006
* Alfredo Fuentes Hernández
Alfredo Fuentes Hernández is a Colombian diplomat, lawyer and economist. He was a partner at Colombian law firm Palacios Lleras. Since October 2015 he is a partner and CEO at the Colombian Law Firm "Fuentes Hernández Asesores SAS".
As the Direct ...
(Colombia
Colombia (, ; ), officially the Republic of Colombia, is a country in South America with insular regions in North America—near Nicaragua's Caribbean coast—as well as in the Pacific Ocean. The Colombian mainland is bordered by the Car ...
), interim 2006–2007
* Freddy Ehlers ( Ecuador), 2007–2010
* Adalid Contreras Baspineiro (Bolivia
, image_flag = Bandera de Bolivia (Estado).svg
, flag_alt = Horizontal tricolor (red, yellow, and green from top to bottom) with the coat of arms of Bolivia in the center
, flag_alt2 = 7 × 7 square p ...
), interim 2010–2011, 2011–2013
* Pablo Guzmán Laugier (Bolivia
, image_flag = Bandera de Bolivia (Estado).svg
, flag_alt = Horizontal tricolor (red, yellow, and green from top to bottom) with the coat of arms of Bolivia in the center
, flag_alt2 = 7 × 7 square p ...
), 2013–2016
* Walker San Miguel (Bolivia
, image_flag = Bandera de Bolivia (Estado).svg
, flag_alt = Horizontal tricolor (red, yellow, and green from top to bottom) with the coat of arms of Bolivia in the center
, flag_alt2 = 7 × 7 square p ...
), 2016–present [ Andean Community of Nations, 11 Jan 2016,]
Free flow of people
Since January 1, 2005, the citizens of the member countries can enter the other Andean Community member states without the requirement of a visa. Travellers should present the authorities their national ID cards.
Visitors to Venezuela will have to present their passports; they will then receive the Andean Migration Card (''Tarjeta Andina de Migración''), in which the time of temporary residence in the country is stated.
Andean passport
The Andean passport was created in June 2001 pursuant to ''Decisión 504''. This stipulates the issuing of a passport
A passport is an official travel document issued by a government that contains a person's identity. A person with a passport can travel to and from foreign countries more easily and access consular assistance. A passport certifies the personal ...
based on a standard model which contains harmonised features of nomenclature and security. The passport is effective in Ecuador, Peru, Venezuela and Bolivia (Bolivia since early 2006).
See also
* Central American Common Market
* Customs Union
* Free Trade Area of the Americas
* Mercosur
* Trade bloc
* Union of South American Nations
* Rules of Origin
Rules of origin are the rules to attribute a country of origin to a product in order to determine its "economic nationality". The need to establish rules of origin stems from the fact that the implementation of trade policy measures, such as tari ...
* Market access
* Free-trade area
* Tariffs
References
External links
Official Andean Community website
��
BBC.uk: "South America launches trading bloc"
��
{{coord, 12, 2, S, 77, 1, W, source:eswiki, display=title
Andes
Customs unions
Free trade agreements
Trade blocs
Development in South America
South American integration
Economic policy in South America
Economy of South America
International organizations based in the Americas
Intergovernmental organizations established by treaty
Territorial entities in South America
Union of South American Nations
United Nations General Assembly observers
Economy of Bolivia
Economy of Colombia
Economy of Ecuador
Economy of Peru
Foreign relations of Bolivia
Foreign relations of Colombia
Free trade agreements of Colombia
Foreign relations of Ecuador
Foreign relations of Peru
1969 in economics
Organizations established in 1969
Organizations established in 1996
1969 establishments in South America
1996 establishments in South America