The Role of Regional Integration in Promoting Global Business.

1166 Words Jun 30th, 2008 5 Pages
The Role of Regional Integration in Promoting Global Business.
Regional integration is growing as a means for economic growth for many countries. Throughout this paper we will discuss the promoting of regional integration into the Northern South America region. In addition, the paper will discuss the advantages and disadvantages of regional integration as it relates to (NAFTA, EU, APEC, ASEAN, CAFTA).
Regional Overview
The Northern South America region contains two countries Columbia and Venezuela. Both of the countries in this region have a wide array of natural resources that have been exploited by European settlers for centuries. The population combined for the two countries is estimated at 70 million. “Most major cities are often
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exports will gain immediate duty-free access to Colombia. Colombia agreed to allow trade in remanufactured goods, and will join the WTO Information Technology Agreement. This agreement also crates new opportunities in the following areas:
• Farmers and Ranchers: “U.S. farm exports to Colombia that will receive immediate duty-free treatment include high quality beef, cotton, wheat, soybeans, soybean meal; key fruits and vegetables including apples, pears, peaches, and cherries; and many processed food products including frozen french fries and cookies. U.S. farm products that will benefit from improved market access include pork, beef, corn, poultry, rice, fruits and vegetables, processed products, and dairy products” (www.ustr.gov).
• Textiles and Apparel: The textile and apparel industry for U.S. Columbian fiber, yarn, fabric and apparel manufacturing will now be quota free and duty free creating new opportunities.
• Strong Protection for U.S. Investors: The agreement will enable investors the right to establish, acquire, and operate on equal footing as local investors.
• Expanded access to Service Markets:
Among other changes Colombia has joined the Andean Group, an economic organization of South American nations, in 1969. Since then the country has signed free-trade pacts with other Andean countries and Mexico. In the end, the steps taken by Columbia enable both the country itself and other foreign countries and the organizations throughout the benefits

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