EU/Mexico relations: closer relations

In adopting the report by Mrs MIRANDA DE LAGE (PSE, E), the European Parliament welcomed the decision of 2 May 1995 concerning the rapid conclusion of a political, economic and commercial agreement between the European Union and Mexico. However, it called for this agreement to include a democratic clause (respect for human rights and democracy). Although it supported the reforms implemented in the country, the EP highlighted the fact that Mexico needed to create the basic framework for sustainable development. It also supported the establishment of future political dialogue, which should include consultation at parliamentary level between members of the Mexican Congress and Members of the European Parliament. Parliament was equally in favour of the conclusion of a new preferential agreement and the eventual establishment of a free trade area in the industrial and services sector as well as progressive, reciprocal liberalisation of agricultural trade. It asked that the harmonisation of standards together with provisions on scientific and technological cooperation be included in the agreement. Furthermore, as a safety measure, Mexico should be able to benefit from a reasonable margin of preference in its access to the Community market if it suffered significant market losses. The future agreement should also guarantee Community undertakings parity of treatment and of access to the Mexican market with US or Canadian undertakings. At the same time, the EP believed that this agreement should be accompanied by a significant increase in financial aid from the Community with the goal of encouraging European private investment and economic and social development in Mexico in accordance with the arrangements made with the CEECs. Provision should also be made for EIB loans. Finally, Parliament highlighted for the Commission the importance of a detailed study of the technical issues raised by the negotiation of this new agreement, particularly the definition of a transition period for industrial products, the arrangements for the progressive, reciprocal liberalisation of agricultural trade, and the rules of origin that would apply, in view of the discrepancies between NAFTA and European Union rules for certain industries, such as motor vehicles, textiles, and so on. �