Costa Rica News, Daily News in Costa Rica by the Tico Times
February 28, 2008
 
   
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Costa Rica gets seven more
months to comply with CAFTA
By Gillian Gillers
Tico Times Staff | ggillers@ticotimes.net

Costa Rica has until Oct. 1 to enter the Central American Free-Trade Agreement (CAFTA), according to a pact reached yesterday by the treaty's signers that extends the deadline by seven months.

Representatives of the United States, Guatemala, El Salvador, Honduras, Nicaragua and the Dominican Republic signed the extension document in Washington, D.C., three days before Costa Rica's March 1 deadline for entering the treaty.

Costa Rica is the only country that has negotiated but not yet entered CAFTA, which was ratified in a controversial referendum in October. Lawmakers are still debating a package of 12 bills required, in some form, to put the country in compliance with the treaty.

President Oscar Arias' administration asked for a seven-month extension because the Caribbean Basin Initiative, which allows most Costa Rican exports to enter the United States tariff-free, expires Sept. 30 for certain goods, including tuna and textiles. Still, Foreign Minister Marco Vinicio Ruiz said Costa Rica would try to enter CAFTA by July.

U.S. Trade Representative Susan Schwab also urged Costa Rica to join CAFTA as soon as possible.

“We look forward to welcoming Costa Rica as a full member of this important regional free-trade agreement in the next few months,” she said in a statement.

Two of the CAFTA bills have become law, while seven more have made substantial progress in the Legislative Assembly. The Arias administration yesterday presented the 12 th bill, which would strengthen intellectual property rights.

U.S. Undersecretary of Commerce Christopher Padilla will meet with Arias tomorrow to discuss ways to boost Costa Rican exports to the United States.

 
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