Trade Agreement between the United Kingdom,
Colombia, Ecuador and Peru
(Goods and Services)

Note on the Meeting of 8 april 2024

Chair: Ambassador H.E. Ms. Clare KELLY (New Zealand)

1.1.  The 109^th Session of the Committee on Regional Trade Agreements (hereinafter "CRTA" or the "Committee") was convened in Airgram _WTO/AIR/RTA/34/Rev.1 dated 28 March 2024.

1.2.  Under Agenda Item 8.5, the CRTA considered the Agreement establishing a Trade Agreement between the United Kingdom, Colombia, Ecuador and Peru, goods and services, (hereinafter "the Agreement"). The Chair stated that the Factual Presentation had been prepared by the Secretariat on its own responsibility in full consultation with the Parties, in accordance with paragraph 7(b) of the Transparency Mechanism for Regional Trade Agreements (document _WT/L/671).

1.3.  The Agreement had entered into force between 31 December 2020 and 28 June 2022 depending on the Party. The Parties had notified the Agreement on 31 December 2020 and 1 September 2022 under Articles XXIV:7(a) of the GATT 1994 and Article V:7(a) of the GATS (documents _WT/REG425/N/1 and N/2 and _S/C/N/1028 and Add.1). They indicated that it had established a free trade area for trade in goods within the meaning of Article XXIV of the GATT 1994, and trade in services within the meaning of Article V of the GATS. The text of the Agreement, together with its Annexes, was available on the Parties' official websites and in the WTO RTA database. The Factual Presentation, document _WT/REG425/1, and questions and replies, document _WT/REG425/2, had been distributed.

1.4.  The representative of the United Kingdom, on behalf of the Parties, delivered the joint statement on the Agreement which had entered into force on December 31^st December 2020, for the United Kingdom, Ecuador, and Peru, and on 28^th June 2022 for Colombia. He thanked the Secretariat for preparing the excellent factual presentation and the Andean Countries for their important contributions in drafting and agreeing the statement.

1.5.  The Parties emphasized the longstanding and positive trade relationship which existed between them. They all valued the role which free and fair trade played in increasing sustainable and inclusive prosperity, to the benefit of all their citizens. The Agreement had played an important role in delivering those benefits, ensuring the free flow of goods and services, and supporting businesses to thrive. Officials would continue to build on the successful implementation of the Agreement so far and ensure that it continued to create economic opportunities through increased trade and investment.

1.6.  The Agreement had already helped to secure substantial trade and investment, with total trade in goods and services (exports plus imports) between the UK and Andean Countries at GBP 4.2 billion in the four quarters leading up to the end of Q4 2022. The Agreement established a free trade area for trade in goods within the meaning of Article XXIV of the GATT 1994, and trade in services within the meaning of Article V of the GATS. 

1.7.  The Agreement covered preferential trade in goods and services, including provisions on rules of origin, and in areas such as government procurement, geographical indications, intellectual property as well as preferential tariffs and quotas. As with the Agreement between the UK and Viet Nam, the Agreement was based on the EU-Andean Countries Agreement. Many of the general changes to the EU-Andean Countries Agreement, such as replacing "EU" with "UK", had  also been applied mutatis mutandis, with the technical changes necessary to apply the Agreement as if it had been concluded between the UK and the Andean countries in the first instance. Where more substantive amendments had been required to ensure operability, or where the UK and the Andean countries had jointly agreed that mutatis mutandis would not deliver, adequate certainty over rights and obligations had been provided by detailed amendments included in the Annex to the Agreement. Alongside the Annex, which contained modifications to the incorporated UK [EU] - Andean Agreement, the Agreement was made up of nine articles. Additionally, it included a Joint Declaration on geographical indications.

1.8.  The Agreement also contained a commitment to hold an annual Trade Committee meeting where Parties could discuss implementation, administration, and cooperation under the different chapters, and address priority barriers to trade. The Parties were also required to hold annual subcommittee meetings on the following topics: Agriculture, Customs, Trade Facilitation and Rules of Origin, Government Procurement, Intellectual Property, Market Access, Technical Barriers to Trade, Trade and Sustainable Development, and Sanitary and Phytosanitary Measures. Most of the institutional provisions and bodies provided for in the Agreement and most of its Decisions had been incorporated and retained mutatis mutandis from the EU-Andean Agreement, although some modifications had been made to their composition and functions to ensure they were suitable for the nature of the Agreement.

1.9.  The implementation of the Agreement had been effective and focused. The Trade Committee met on an annual basis and had served as a forum to explore further opportunities to increase trade between the Parties and addressed priority barriers to trade. In July 2023 the Trade Committee had adopted Decision N° 02/2023 of the Rules of Procedure of the Agreement. Currently, the Parties were in process of agreeing on the list of Chairpersons and panel of arbitrators, according to Article 304 of the Agreement.

1.10.  The Parties continued to work together to ensure that all their institutional mechanisms reflected their joint desire to support business growth and development. They wanted all their citizens to benefit from increased free and fair trade. By focusing on identifying and reducing barriers to trade, simplifying bureaucracy, and seeking long-term improvements in trading conditions they hoped to stimulate the free flow of goods and services through the Agreement and contribute to ongoing sustainable development. They looked forward to continuing to deepen their trade relationships through effective implementation of the Agreement and working together to help businesses flourish for the benefit of their economies and people.

1.11.  The UK looked forward to the upcoming Trade Committee meeting with the Andean Countries in July where Parties could explore further opportunities to collaborate and create greater prospects for their trade relations.

1.12.  The representative of the European Union thanked the UK for the presentation and wished the Parties success in the implementation of the Agreement.

1.13.  The representative of the United States thanked the Parties for their efforts and for the notification.

1.14.  The Chair noted the consideration of the goods and services aspects of the Trade Agreement between the United Kingdom, Colombia, Ecuador and Peru, had allowed the Committee to clarify a number of questions and conclude oral discussion of the RTA in accordance with paragraph 11 of the Transparency Mechanism. Any delegations wishing to ask follow‑up questions were invited to forward submissions in writing to the Secretariat by 15 April 2024 and the Parties were asked to submit replies in writing by no later than 29 April 2024. In accordance with paragraph 13 of the Transparency Mechanism all written submissions, as well as minutes of the meeting would be circulated promptly, in all WTO official languages, and made available in the WTO database on RTAs.

1.15.  The Committee took note of the comments made.

__________