WASHINGTON (Reuters) - After an intense round of final talks, Costa Rica on Sunday agreed to join a free trade pact with the United States that four other Central American countries already have joined, U.S. and Costa Rican trade officials said.
With the deal, Costa Rica agreed to expand access to its insurance and telecommunications markets, along with general reductions in trade barriers under the U.S.-Central America Free Trade Agreement, senior U.S. trade officials said.
"Costa Rica needed a little more time to complete its participation in the CAFTA, and we're very pleased it has joined its Central American neighbors in this cutting-edge, modern FTA (free trade agreement) designed to expand trade between neighbors and friends," U.S. Trade Representative Robert Zoellick said in a statement.
Zoellick announced the deal with Costa Rican Minister of Foreign Trade Alberto Trejos.
The United States concluded negotiations last month with El Salvador, Guatemala, Honduras and Nicaragua. But Costa Rica balked at that time at concluding the deal that would create a free trade zone similar to the North American Free Trade Agreement between the United States, Canada and Mexico.
In the last few weeks, U.S. and Costa Rican negotiators resolved outstanding issues in areas including market access for agriculture, textiles and apparel, and professional services.
Costa Rica also made specific agreements to fully open its insurance market to competition by Jan. 1, 2011, with most of it to be opened by Jan. 1, 2008, U.S. trade officials said.
It also is to gradually open its telecommunications market in private network services, Internet services and wireless services, and it will establish regulations to promote effective market access, they said.
"Costa Rica's full participation in CAFTA will streamline trade, promote investment, slash tariffs on goods, open trade in services, protect advanced intellectual property, and strengthen labor and environmental conditions," Zoellick said.
The United States still is negotiating with the Dominican Republic, intending to expand the pact.
U.S. exports of goods to Costa Rica were worth $3.5 billion in 2003, up about 13 percent from 2002. Corresponding imports from Costa Rica were $3.4 billion, up 9.7 percent from previous year, the U.S. Trade Representatives' office said.
Copyright 2004, Reuters News Service
U.S., Costa Rica reach free trade agreement
With the deal, Costa Rica agreed to expand access to its insurance and telecommunications markets, along with general reductions in trade barriers under the U.S.-Central America Free Trade Agreement, senior U.S. trade officials said.
"Costa Rica needed a little more time to complete its participation in the CAFTA, and we're very pleased it has joined its Central American neighbors in this cutting-edge, modern FTA (free trade agreement) designed to expand trade between neighbors and friends," U.S. Trade Representative Robert Zoellick said in a statement.
Zoellick announced the deal with Costa Rican Minister of Foreign Trade Alberto Trejos.
The United States concluded negotiations last month with El Salvador, Guatemala, Honduras and Nicaragua. But Costa Rica balked at that time at concluding the deal that would create a free trade zone similar to the North American Free Trade Agreement between the United States, Canada and Mexico.
In the last few weeks, U.S. and Costa Rican negotiators resolved outstanding issues in areas including market access for agriculture, textiles and apparel, and professional services.
Costa Rica also made specific agreements to fully open its insurance market to competition by Jan. 1, 2011, with most of it to be opened by Jan. 1, 2008, U.S. trade officials said.
It also is to gradually open its telecommunications market in private network services, Internet services and wireless services, and it will establish regulations to promote effective market access, they said.
"Costa Rica's full participation in CAFTA will streamline trade, promote investment, slash tariffs on goods, open trade in services, protect advanced intellectual property, and strengthen labor and environmental conditions," Zoellick said.
The United States still is negotiating with the Dominican Republic, intending to expand the pact.
U.S. exports of goods to Costa Rica were worth $3.5 billion in 2003, up about 13 percent from 2002. Corresponding imports from Costa Rica were $3.4 billion, up 9.7 percent from previous year, the U.S. Trade Representatives' office said.
Copyright 2004, Reuters News Service
U.S., Costa Rica reach free trade agreement
