By Soledad Alvear, Minister of Foreign Relations.

Chile looks towards the Asia-Pacific region not only geographically, but also culturally, politically and commercially. This reflects our long coastline that stretches along the Pacific Ocean; the close ties forged by Nobel poet Pablo Neruda while he was Chile’s consul in Burma, Ceylon, Indonesia and Singapore; the 57% of Chilean exports that go to the other 20 economies of APEC; and the solid relations we have developed with our interlocutors around the Pacific Basin.

As an open and relatively small economy, Chile has worked to establish productive ties with the world’s most dynamic economies. Fortunately, the majority of these economies are located in a region that is part of our present development strategy and, certainly, of our future: Asia-Pacific.

Since Chile joined APEC in 1994, the forum has emerged as a true ally in meeting the regional and international challenges of development and of the increasing globalization of trade, security and health, as well as other crucial issues that transcend physical and political frontiers.

The catalyzing role that APEC plays in these issues has been of great importance for our economy, allowing us to participate in a forum in which decisions are taken by consensus, and undertakings are not binding. To be able to sit around a table with the leaders of economies such as the United States, P. R. China, Russia and Japan affords Chile a real and effective opportunity to meet with international “operators” to discuss not only such immediate problems as the Severe Acute Respiratory Syndrome (SARS) outbreak of 2003, but also medium-term processes. In this sense, APEC serves as a unique place in which the member economies can meet as peers.

The positive impact that this valuable dialogue between economies and their representatives has on bilateral relations is reflected at different levels, ranging from meetings of technical teams and SOMs through to the Leaders’ Meeting, which marks the culmination of the APEC year. For Chile, the opportunities provided by APEC for bilateral contacts are one of the forum’s most interesting features. Increasing trade and dialogue are evidence of the positive results of our membership of this forum, of which Chile, Mexico and Peru are the only Latin American members, although the Americas is also represented by Canada and the United States.

APEC also provides a meeting place for the business and academic communities of the Asia-Pacific region. Through the APEC Business Advisory Council (ABAC) and the APEC Study Centers (ASC), businesspeople and academics are able to participate in the high-level political dialogue that takes place within APEC.

From Bogor to Doha: APEC brings together four continents, represents more than a third of the world’s population, more than 60% of the world’s GDP and 47% of global trade. It is, as a result, a key interlocutor for the world trade agenda, developed today in the framework of the World Trade Organization(WTO).

It was during Indonesia’s presidency of APEC that member economies charted the so-called Bogor Goals, which aim to achieve free trade by 2010 in the case of developed economies, and by 2020 in the case of those considered to be developing economies. Chile, in line with its commitment to free trade, opted to join the former group.

In a bid to achieve these ambitious goals, three areas of work were identified: liberalization of trade and investment, facilitation of trade, technical and economic cooperation. As indicated at the Leaders’ Meeting in Los Cabos, Mexico, the ultimate goal is to ensure that all the community shares in the benefits of liberalization and that technical and economic cooperation within APEC provides the tools for reaching development in conditions of social justice and social justice.

Chile also participates actively in the WTO and, particularly, in the present Doha Round. Both processes -Bogor in APEC and Doha in the WTO- are mutually reinforcing and share common goals, such as the facilitation and liberalization of trade. In this context, the agenda for Chile’s period as the host APEC economy will include trade facilitation and, in view of the terrorist attacks that have put the issue of security on the international agenda, the challenge of ensuring that trade is practiced safely.

The proliferation of trade agreements within the Asia-Pacific region also warrants our attention, especially in view of the inter-relation between APEC, as a regional body that seeks the liberalization and facilitation of trade and investment, and the WTO as a forum for multilateral negotiations. Chile has already co-sponsored an interesting exercise at the level of SOMs on the bilateral FreeTrade Agreements that exist between APEC economies.

Chile takes its responsibility for organizing APEC 2004 very seriously, and is aware that this will involve marshalling our ability to propose issues, to organize events and to provide hospitality. Over the course of the year, thousands of people will take part in meetings of Senior Officials and Ministers, who will debate topics that range from small and mid-sized enterprises to international relations and trade, as well as in meetings of business leaders, including the CEO Summit and ABAC, of Study Centers, and in other issue-specific events that will take place in the different regions of Chile. And, of course, marking the end of its APEC Presidency, Chile will host the Leaders’ Meeting in November 2004.

The Bogor Goals, the facilitation of trade and the need for security, and the Doha Round which should reach its conclusion in January 2005, will all form part of the APEC agenda for 2004. This series of meetings will, for Chile, stand as an opportunity to reaffirm its commitment to free trade and to development with social justice.