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Bolivia's Evo Morales asked to stop interfering in Peru's affairs

President García asks Evo Morales not to meddle in Peru’s domestic politics

President Alan García asked his Bolivian counterpart Evo Morales not to interfere in Peru’s domestic politics and expressed it was a “coarse lie” to say there is a US military base in Peru. “We would have to say as Spain’s Juan Carlos (the king said to Hugo Chávez): ‘Why don’t you shut up’. ‘Be concerned about your country and not about mine, you are being annoying, so be careful with the consequences of what you are doing’, he said to the press. (ANDINA - click here to read complete article)


Head of Andean Parliament asks Morales to stop statements against Peru

The president of the Andean Parliament, Ivonne Baki, asked president Evo Morales to stopped making comments against Peru since it affects the Andean Community (CAN) and intensifies the perception of division within the bloc, after the diplomatic crisis between Ecuador and Colombia. This situation is one of the reasons why the European Union decided to halt talks with CAN to sign a trade and political association agreement since they are uncertain what can happen with Andean countries. (ANDINA - click here to read complete article)

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Peru calls home ambassador to Bolivia after Evo Morales makes military base claims

Living in Peru
Israel J. Ruiz

Peru called home its ambassador to Bolivia on Monday after the country's president, Evo Morales lashed out at his Andean neighbor in a new series of comments and accusations.

On this occasion, leftist president Evo Morales claimed the U.S. was establishing and had established a secret military base on Peruvian soil.

Furthermore, the unpopular president, which is pushing to have his new constitution approved in a nationwide referendum, urged Peru's people to fight the presence of U.S. troops in their country.

While U.S. Marines are in Peru for humanitarian aid projects, both Peru and the United States have denied that there is not and will not be a military base in the Andean country.

"Peru rejects these declarations, an expression of this annoyance and rejection is that they have decided to call me to Lima," said Fernando Rojas, Peru's ambassador to Bolivia.

Tension has increased over the past several months between the two countries. Ambassador Rojas has expressed his concern, stating that he could not recall when the two countries had had such a difficult relationship.

Peru has two issues pending with Bolivia; the first involves Bolivia's approval of a modification of an Andean Community regulation on intellectual property.

Morales has already denied to modify the regulation, which would permit Peru to implement its free trade deal with the U.S.

The other pending issue is Bolivia's position on a free trade deal with the European Union. The EU is currently attempting to negotiate a free trade pact with the Andean Community as a whole.

Peru has already requested that the EU negotiate with the Andean country separately because of difficulties presented by Bolivia.

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Peru hopes to seal FTA with China in November

Peru hopes to conclude in November a Free Trade Agreement (FTA) with the People's Republic of China, during Chinese president Hu Jintao's official visit to Peru on the occasion of the APEC Leaders' Summit, said Peruvian vice-chancellor Gonzalo Gutiérrez.

In this sense, he noted that representatives from both countries have sped up negotiations so that the agreement can become a reality on that date.

"The goal is to reach said trade deal between China and Peru during Hu Jintao's official visit in November," he said on a local TV program.

The Fourth Round of the Negotiations for the Free Trade Agreement (FTA) between Peru and China began this Saturday in Lima and will last until July 3, 2008.

In this new round, Peru and China will discuss themes related to Market Access, Rules of Origin, Commercial Defense, Services, Investment, Sanitary and Phytosanitary Measures, Technical Barriers to Trade, Dispute Resolution, Customs Procedures and Institutional Affairs.

News source: ANDINA

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Peru governors respond to Alan Garcia's harsh criticism

Living in Peru
Israel J. Ruiz

Governor's across the country immediately responded after President Alan Garcia harshly criticized regional presidencies for not fulfilling their duties and not investing funds that had been given to them by Peru's central government.

Garcia affirmed that two thirds of this year's fiscal budget had been transferred to regional governments across Peru but that the money was not being invested.

"They have received the money but don't spend it on projects. Citizens should look for their authorities, if it's necessary in their homes and demand that they do their jobs," said Garcia on Tuesday in a speech given in the region of Puno.

Yehude Simon, a coordinator for the National Governors Assembly stated that Garcia's remarks were only going to contribute to more conflict.

He affirmed that these issues should be taken up with individual governors and in private.

Hugo Ordóñez, the Governor of Tacna affirmed that President Garcia did not have the moral authority to make these claims, stating regional presidencies had invested their funds better than the central government.

The governor of Cusco, Hugo Gonzáles assured that more investments had not been made because of bureaucratic barriers that had been set by the country's central government.

Prime Minister Jorge del Castillo explained that Garcia's remarks had not been directed at all governors, but those who were spending more time inciting riots and organizing protests than they were spending on helping the poor.

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Mayor of Lima attends Democratic Convention in Colorado with Obama

Living in Peru
Israel J. Ruiz

After meeting at this year's Mayors' Hemispheric Forum, which was convened by Mayor Manny Diaz in Miami, the mayor of Lima Luis Castañeda and the U.S. Democratic presidential candidate Barack Obama will meet once again.

Luis Castañeda is to travel to the United States in late August and will be present at the Democratic National Convention in Denver, Colorado, where Obama will formally become the nominee.

The news was announced by Castañeda's Lieutenant Mayor, Marco Parra, who assured that it was very positive for the two politicians to strengthen ties.

"I think it's an invitation which responds to the expectations Lucho Castañeda Lossio generally raises in the United States," said Parra, explaining that few politicians from this region were invited to these ceremonies.

He pointed out that the tie with the mayor of Lima was based on the help the U.S. Democratic party granted the municipality of Lima through the Democratic Institute.

"The municipality receives training material from the Democratic Institute. This began last year and is principally about helping strengthen political parties," said Parra, affirming that Castañeda's presence would open doors for Peru and its capital city.

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New outsourcing law creates controversy in Peru

Living in Peru
Israel J. Ruiz

A law passed by Peru's government giving employees of contractors more rights has already come under fire by politicians, analysts and lawyers.

Jorge Toyama, a Peruvian labor lawyer has affirmed that the new law, which was passed Monday, is "very tough" on small and medium size businesses.

Toyama assured that the contracting law, which obligates companies to make sure that contractor firms are complying with labor laws, could only be kept by large businesses such as transnational companies.

"The requirements established by the norm are hard on small businesses, subcontracting will only be possible in companies with many clients, their own equipment and finances," said the lawyer.

He affirmed that only large Peruvian businesses and transnational companies would be able to comply with the new law.

Toyama explained that the outsourcing law limited the freedom of companies in the Andean country.

According to the labor lawyer, the new law will create more unemployment.

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Peru's President Alan Garcia passes law to benefit subcontracted workers

Living in Peru
Israel J. Ruiz

Peru's president Alan Garcia approved a law on Monday evening that sets stricter limits on labor outsourcing.

The law, which was a major union demand, was approved by congress in late May.

According to new contracting requirements, companies will have to make sure that the contractor firms they hire are abiding by labor laws.

Furthermore, contracted workers will be allowed to complain directly to main companies.

A national registry containing the names of contracting companies will also be created and companies that abuse workers' rights will be penalized.

Once the law was passed, President Garcia affirmed that hundreds of thousands of workers would be protected. He added that now there existed contracting laws that could not be avoided or evaded by companies.

Garcia explained that many contracting companies in Peru had not been paying workers fair wages and had been hiring people without providing them with social security or a pension fund.

"We want Peru to grow for everyone, to advance for its workers, and to eradicate and eliminate slavery in the 21st century," said Garcia, explaining that employees of contractors would now have more rights.

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Peru's President Alan Garcia drops in polls

Living in Peru
Israel J. Ruiz

President Alan Garcia’s approval rating dropped even further in June after citizens in Peru held the government responsible for mining protests in the country’s southern region of Moquegua.

Garcia dropped another five percentage points to 30 percent in the nationwide survey by polling firm Ipsos Apoyo.

Many considered that his administration did not do enough to end the 10-day strike, which saw everything from riots to Moqueguans taking 59 police officers and a police general hostage.

Garcia’s disapproval rating showed that he was even more unpopular in Peru’s southern regions.

Polls showed that 90 percent of Peru’s citizens in the Andean country’s southern regions did not approve of the Head of State.

Inflation was another main factor which contributed to Garcia’s unpopularity. 64 percent of those polled affirmed that they disapproved of Peru’s president because of rising prices.

41 percent of survey participants stated Garcia was a liar and did not keep his word while 38 percent stated the country’s employment situation had not improved.

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Bolivia keeps Peru from implementing free trade deal with the U.S.

Living in Peru
Israel J. Ruiz

Peru's Minister of Foreign Trade and Tourism Mercedes Araoz announced on Tuesday that Bolivia had not been willing to make changes to an Andean Community document that would permit Peru to implement a free trade deal with the United States.

As one of the final steps in implementing the free trade agreement signed with the U.S., Peru must modify Decision Nº 486, a decision made by the Andean Community (CAN) - a trade bloc comprising the South American countries of Bolivia, Colombia, Ecuador and Peru.

The article that is to be modified of Decision Nº 486, which is a common intellectual property regime, has to do with the use of patents.

A meeting was held from June 15 - 17 in Lima with the Andean Community's Council of Ministers of Foreign Affairs to deal with the issue.

"It was a difficult meeting," assured Araoz, stating Peru had Colombia and Ecuador's support but did not have Bolivia's approval.

"For political reasons, Bolivia has rejected the Peruvian proposal to modify Decision Nº 486," said Araoz.

She affirmed this had strongly bothered Peruvian delegates because changing Decision Nº 486 was an essential step in implementing the free trade deal with the U.S.

"Peru will continue insisting," said the tourism minister. "We've asked Bolivia to consider the mutual respect that should exist between the two nations, especially in decisions that affect the country's development."

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Obama for free trade deal with Peru, but against FTA with Colombia

US Democratic presidential candidate Barack Obama said today he supports the signing of the Free Trade Agreement (FTA) between the United States and Peru, but is against signing a trade deal with Colombia.

“I approved the Free Trade Agreement with Peru, but I’m against an agreement with Colombia”, said Obama in an interview published by the Chilean journal “El Mercurio”.

He stated that he will maintain this position until he is sure that “no union leaders are being murdered in Colombia” and added that “we need to stop these types of paramilitary activities”.

The presidential candidate said that the FTA between his country and Peru is the type of agreement needed because it respects workers' rights and the environment.

On the other hand, Obama regards Venezuela’s president, Hugo Chavez, as a “manageable threat” for his country’s security and he will be open for dialogue with Venezuela and Cuba if elected president.

Furthermore, Obama acknowledged that he had not been to Latin America, but said he would like to visit the region before the elections.

News source: ANDINA

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