A Memorandum of Interaction between the Eurasian Economic Commission and the Government of the Republic of Nicaragua was signed by Sergei Glazyev, EEC Minister in charge of Integration and Macroeconomics, and Jesus Bermudez, Minister of Industry and Trade of Nicaragua. The ceremony took place on January 17 in Managua.
"Nicaragua and the Eurasian Economic Union States have traditionally strong ties on a broad agenda, and it is quite logical that given the active development of the processes of the Eurasian economic integration and positive examples of the Commission's interaction with other partners in Latin America and the Caribbean, we have entered into a direct dialogue with the Government of Nicaragua," Sergei Glazyev stated.
The document defines such key areas of cooperation between the EAEU and Nicaragua as customs and technical regulation, manufacturing industry, agricultural sector, SPS measures, consumer rights protection and others. It was agreed to start work in these directions already this year at the level of relevant subdivisions of the EEC and ministries and agencies of Nicaragua. This will make it possible to establish efficient contacts even before the first meeting of the Working Group established under the Memorandum.
The sides plan to develop cooperation by exchanging experience and information on issues of mutual interest; holding meetings and consultations, joint preparation and organization of conferences, business missions, including with representatives of business circles of the Union and Nicaragua, as well as preparation of joint analytical materials and reports.
"The interaction within the Memorandum is focused on promoting trade and economic cooperation between the EAEU countries and Nicaragua," the EEC Minister noted. "Along with that, the potential can be unlocked not only by increasing the volume of trade in goods, but also by developing cooperation and implementing joint projects."
Prior to signing the document, Laureano Ortega, Advisor to the President of Nicaragua, and Jesus Bermudez, Minister of Industry and Trade of Nicaragua, made a presentation of their country's economic potential as well as business environment with a focus on the prospects for developing cooperation with the EAEU countries' partners. They noted the interest in increasing both export and import supplies, as well as expanding the geography of contacts to include all Union countries.
The Nicaraguan partners informed in detail about the possibilities for the EAEU business circles to use the mechanism of free development zones in the territory of Nicaragua and expressed confidence that the EAEU partners would be interested in this mechanism, actively promoted by the Government of Nicaragua.
The practical aspects of implementing the Memorandum are planned to be discussed during bilateral meetings of Sergei Glazyev and the officials of the Ministry of Agriculture, the Central Bank, the Ministry of Finance and Public Credit, the Ministry of Tourism and the National Free Zone Commission of the Republic of Nicaragua.
For reference
The trade turnover between the EAEU and Nicaragua has positive trends. From January to October 2023, the EAEU exports to this country increased by 14%, while imports more than doubled. Exports are dominated by medicines, motor vehicles and their parts, nitrogen fertilizers, sunflower oil, petroleum products; imports are dominated by peanuts, coffee, tobacco products and raw materials, knitwear and textiles.
By mid-January 2024, the EEC had established an extensive network of interaction with Latin American and Caribbean States and integration associations through concluding Memoranda of Cooperation. It interacts at the governmental level with Chile, Peru, and Cuba; at the ministerial level – with Ecuador, Argentina; at the level of integration structures – with the Andean Community, the Latin American Economic System (SELA), the Southern Common Market (MERCOSUR), the Pacific Alliance, and the Secretariat for Economic Integration in Central America (SIECA).