In the Vienna Convention about the rights of the treaties, celebrated on May the 23rd in 1969, it was established that the treaties are formal agreements celebrated in a written form among States and ruled by the principles of international right, such as equality and free determination.
Of the countries, sovereignty equality and the independence of all the States, the noninterference in the internal affairs of each country, the prohibition of threatening or the use of force and the respect to the human rights and to the liberties of everybody and its effectiveness. These can be bilateral (two parties) or multilateral (among more than two parties).
The expression treaty is used for instruments of great importance and solemnity, which have common characteristics and are ruled by the same norms. Thus, the conventions, the treaties and protocols are also considered treaties, though the only difference is that they are less formal.
In Chile, the conduction of the conversations that carry the signature of the international treaties is an exclusive attribution of the President of the Republic. On the other hand, the National Congress approves or rejects the treaties that the mandatory has negotiated and subscribed. These are carried forward in the same fashion as the law projects, in other words, the president sends the treaty to the congress which is revised by a commission and then, it is voted. If it is approved, it is promulgated and published as a law in the Official Newspaper.
Free Trade Agreements (FTA)
They are bilateral commercial agreements or multilateral used for amplifying the goods and services market among the participating countries, and also eliminate or reduce the customs fees.
These kinds of treaties are ruled by regulations of the World Trade Organization (WTO) or by mutual agreement among the subscribing countries.
Chile, so far, has signed Free Trade Agreements with the following countries or zones:
– Canada: it was the first FTA signed by our country on December the 5th, 1996 and its main objectives were the elimination of obstacles to trade, thus facilitating the beyond border of goods and services between both countries and the substantial increase of the investment opportunities.
– Mexico: it was signed on April the 17th, 1998 and ratified by the National Congress in 1999.
Among its main objectives were to promote the legal conditions of competition in the free zones or free trade and increase the investments.
Besides, to guarantee and make effective the intellectual property rights and what was related to the protection of origins denominations; for example, Chile acknowledges the Tequila and Mezcal as origin denominations for the exclusive use of products originally from Mexico.
– Central America: on October the 18th, 1999, the presidents of Chile, Costa Rica, El Salvador, Guatemala, Honduras and Nicaragua signed in the city of Guatemala this FTA. In this agreement was established the objective of improving the free trade zone, stimulate the expansion and trade diversification among all the involved countries, eliminating the trade barriers and facilitating the product circulation.
– European Free Trade Association: Iceland, Liechtenstein, Norway and Switzerland signed on June the 26th, 2003 the FTA with Chile. This agreement defined the reduction of the customs fees ( almost 90% of the Chilean exports will enter the EFTA without paying tariffs), reinforce the antidumping measures (to protect the internal market) for the commerce and encourage investments.
–United States; this FTA was signed on June the 6th, 2003 and was set forth on January of the following year. In it was established the reduction of tariffs, the increase of investments and the respect for the intellectual property rights of both countries.
– South Korea: on February, 2004, this treaty was signed, whose main objectives stimulate the diversification of trade between both countries, increase investments, promote conditions of loyal competence and eliminate the trade obstacles.
– China: it was subscribed on November, 2005; it pretends to promote conditions of loyal competition and eliminate trade obstacles, facilitating the border circulation. Some of the Chilean products more favored with the reduction of tariffs are copper and other minerals, legumes, fish oil, chicken, pork, prunes, shrimps, frozen food, peaches, cheese and cherries.
– Panama: it was signed on June, the 26th, 2006, in which was contemplated to stimulate the trade diversification between both countries, promote the legal conditions of competition in the free trade zones and increase investments.
– Japan: it was signed in Tokyo on March the 27th, 2007. The agreement stipulated to liberate the services and merchandise trade between both parties, increase investments, intensify the opportunities for suppliers in order to participate in governmental purchases, to improve the business environment, among other goals.
Other types of trade agreements
– Investment Protection: their main objective is to protect reciprocally the investments made by the participating nations in the commercial agreement. Our country has signed this kind of agreement with 19 European countries, 5 from the Pacific Asian area and 14 from America.
– Double taxation: corresponds to the signature of an agreement in order to avoid the double taxation (meaning to charge additionally with taxes that has been already revenue), related to certain taxes. One of the most important objectives reached by this deal is to facilitate the investments flow among the countries subscribing this agreement.
Today, our country presents the following overview related to this kind of agreements:
– Currently in force: Argentina, Canada, Mexico, Brazil, Norway, South Korea, Ecuador, Peru, Spain, Poland and France.
. Subscribed, though not ratified: Denmark, Croatia, United Kingdom, New Zealand, Sweden, Ireland and Thailand.
. Concluded Negotiation: Malaysia and Russia.
. In negotiation: Finland, Cuba, Hungary, Holland, Paraguay, Switzerland, United States, Venezuela, Italy, Czech Republic and China.
– Aero-commercial: is related with the traffic rights, in other words, regulate the incoming of airlines in a territory. Chile has bilateral agreements with the following countries: Belgium, Brunei, South Korea, Denmark, Holland, Norway, New Zealand, Singapore, Sweden, Switzerland, United States, Aruba, Costa Rica, Guatemala, Panama, Dominican Republic, Paraguay, Canada, Luxemburg, England, Italy, Bolivia, Ecuador, Argentina, Cuba, Malaysia, Israel, Uruguay, Australia, Germany, France, Spain, Mexico, Peru, Brazil, Jamaica and Venezuela.
Border Treaties
As it follows, we shall see a brief historical development of treaties signed by Chile with its neighboring countries in order to establish the frontiers.
– With Argentina: on November the 20th, 1826, both countries signed a Treaty of Friendship and
Alliance, that guarantees the mutual territorial integrity against any other third power which tried to modify violently the limits of such nations.
In 1855, a Treaty of Peace, Friendship, Trade and Navigation was signed, which established as a criteria the sovereignty that Chile and Argentina had as territory, the same that corresponded when they were dependents of the Spanish crown.
Also, the agreement demanded a pacific solution or a petition of arbitrage to a friendly country in case of any territorial controversy. With this last measure it was tried to solve, further on, the conflict with the Puna de Atacama (deserted highland located eastwards Antofagasta) that was ceded by Bolivia to Argentina in 1893.
The verdict, passed by a commission presided by the north American arbiter William Buchanan, resolved to leave most of the territory to Argentina.
On July, 23rd,1881, in Buenos Aires, the Border Treaty was signed in which the new borders were fixed between both nations lengthwise their entire common frontier. Amongst the most important points, it was sustained that the boundary between Chile and Argentina from North to South, was The Andes Mountain Range and that in the southern part of the continent and North of the Magellan Strait, the boundary between both countries was the line that begins in Punta Dungeness was extended by ground up to the Dinero hill: in Tierra del Fuego a line was drawn beginning from the point called Cabo del Espiritu Santo, was extended southwards up to the beagle Channel, and the Magellan Strait was neutralized to perpetuity, thus the free navigation was ensured for both country flags.
Om May, the 28th, 1902, both countries signed in Santiago the so called May Treaties that included the Preliminary Act, the Convention for Naval Weaponry Limitation and the Arbitrage general Treaty. The latter one had as its main objective to agree upon the rules to which should be subjected the conflicts of any nature that could disturb the good relationships amongst both countries and, thus, consolidate peace. With this agreement, it was possible to resolve the Palena case by means of an arbitrage
And the litigation of the Beagle Channel. In the first, the verdict established that Chile would keep the smallest zone, though with more economical benefits and Argentina with the Hondo Valley and the upper part of the Engaño River. In the second case, our country kept the islands, Lennox, Picton and Nueva and the Beagle Channel was divided in two halfs, being the northern part for Argentina and the southern for Chile.
–With Peru: on October, the 20th. 1883, both countries signed the Ancon Treaty. On of its most important aspects was the definitive delivery to Chile, by Peru, of the Tarapaca province, extended between the Camarones creek and the Loa river. Besides, the territories of Tacna and Arica were kept under the guardianship of Chile for ten years and after this period, a plebiscite should resolve such guardianship.
Nevertheless, already on June, the 3rd.1929, accordingly with the so-called 1929 Treaty, both countries resolved the pending situation. Thus, the Arica and Tacna territory was divided in two halves, Tacna for Peru and Arica for Chile, The dividing line between both zones and, consequently, the frontier, began from a point in the coast called Concordia.
– With Bolivia: on August, the 10th, 1866, the Sucre Treaty was signed, which fixed the boundary between both countries which would be the Parallel 24, south latitude.
On August, the 6th, 1874, the Border treaty was signed, in which it was determined that the limit between both countries was maintained in the 24th. Parallel, south latitude. Also, it was established that the mineral exportation of the zone between parallels 23 and 24 should not exceed the quota that was charge in that date.
On October, the 20th. 1904, the Peace, Friendship and Commerce Treaty was signed. This ended the pending boundary issues between both countries. Also, it was established the building of a railway and Chile had to afford the acknowledged credits by Bolivia for compensations in favor of Bolivia, for compensations in favor of the mining Companies of Huanchaca, Oruro and Corocoro and for the loan settlement risen in 1867.
Mining, Environment, Justice and Education.
There are treaties related with other particular issues such as environment, mining, justice and education. We shall see some of them up next:
Chile and Argentina signed, on December the 29th. 1997 the Mining Integration and Complementation Treaty, which allows the exploitation of gold, copper and silver deposits in border sectors, accompanied with the necessary investments of road infrastructure and connection to water resources.
On August, the 2nd. 1991, Chile and Argentina signed the Treaty for the Environment, in which, both countries fixed the joint actions about preservation, conservation and environmental cleansing and impulse the rational and balanced use of natural resources.
In the judicial ambiance, the Chilean and Peruvian governments subscribed, in Lima, on November, the 5th, 1932, the Extradition Treaty.
The agreement deals with that a condemned can be extradited for any felony that, accordingly with the required country laws, is condemned with one or more years of prison.
In educational matters, Chile and Colombia subscribed in 1981, the Treaty for Study Knowledge and Professional Exercise. This established that any fellow can exercise the profession for which he is enabled by legal title given by the national competent authority in both countries.
Friendship and Peace Treaties
Chile has subscribed Peace and Friendship Treaties with several countries. Some of them are:
– With Argentina: was subscribed on November, the 29th. 1984, in the city of the Vatican (Rome) and in which both countries reaffirm their compromise to preserve, reinforce and develop links of perpetual friendship and peace. By means of this Treaty, the Laguna del Desierto litigation was solved by an arbitrage (1995) which was fully given to Argentina.
– With Paraguay: it was signed on July, 1943 in which was fixed by common agreement cooperate in peace maintenance and to repudiate war as a mean of solving conflicts.
- With Japan: it was subscribed in San Francisco (United States) on September, the 8th. 1951. This treaty contemplated to promote the common wellbeing in order to maintain peace and security between both countries.
– With Lebanon: was signed on September, the 6th. 1950 and established the perpetual peace and constant friendship between both nations.
–With Egypt: it was subscribed in Rome (Italy) on July, the 5th. 1929 and in which was agreed to maintain durable peace and sincere friendship between both nations.
– With Spain: this treaty was signed in Lima (Peru) on June, the 12th. 1883 to reestablish friendly relationships that had been interrupted in 1885 by the war declared by Chile to Peru.