1. SICA countries OPEN FOR BUSINESS, OPEN FOR TRADE AND OPEN FOR INVESTMENT Brussels, Septembre 2012

2. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT LOCATION

3. 1821 1492 1.Treaty for the Creation of the Central American States Organization (ODECA). Best known as “Carta de San Salvador”. Signed in El Salvador on October, 1951. 19511991 MCCA ² MCCA ² ODECA ¹ 2.Created by the General Treaty for the Central American Economic integration. Signed in Managua, Nicaragua on December 13th, 1960. 3. Created by the Protocol of Tegucigalpa. Signed in Honduras on December 13th, 1991. SICA ³ OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESMENT HISTORY

4. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT In 1973, ODECA was suspended and progress in regional integration came to a standstill. Some 20 years later, in 1993, a new integration framework, the Central American Integration System (SICA), came into existence. SICA is made up of three Community Organs, the Central American Court of Justice (CCJ), the Central American Parliament (PARLACEN), and the Secretariat General of the Central American Integration System (SG-SICA). Central American integration dates back to 1951 when the Organization of Central American States (ODECA) was founded. This was followed by the creation of the Central American Common Market (MCCA), the Central American Bank for Economic Integration (BCIE), and the Secretariat for Central American Economic Integration (SIECA) in 1960. THE CENTRAL AMERICAN INTEGRATION SYSTEM SICA

5. El Salvador, June 5th, 1992. Honduras, June 8th, 1992. Nicaragua, July 4th, 1992. Guatemala, August 3rd, 1993. Costa Rica, June 26th, 1995. Panama, March 20th, 1996. Belize, November 27th. 2000. Dominican Republic, December 10th, 2003. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT THE ADHESION PROCESS TO SICA

6. El Salvador, June 5th, 1992. Honduras, June 8th, 1992. Nicaragua, July 4th, 1992. Guatemala, August 3rd, 1993. Costa Rica, June 26th, 1995. Panama, March 20th, 1996. Belize, November 27th. 2000. Dominican Republic, December 10th, 2003. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT THE ADHESION PROCESS TO SICA

7. El Salvador, June 5th, 1992. Honduras, June 8th, 1992. Nicaragua, July 4th, 1992. Guatemala, August 3rd, 1993. Costa Rica, June 26th, 1995. Panama, March 20th, 1996. Belize, November 27th. 2000. Dominican Republic, December 10th, 2003. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT THE ADHESION PROCESS TO SICA

8. El Salvador, June 5th, 1992. Honduras, June 8th, 1992. Nicaragua, July 4th, 1992. Guatemala, August 3rd, 1993. Costa Rica, June 26th, 1995. Panama, March 20th, 1996. Belize, November 27th. 2000. Dominican Republic, December 10th, 2003. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT THE ADHESION PROCESS TO SICA

9. El Salvador, June 5th, 1992. Honduras, June 8th, 1992. Nicaragua, July 4th, 1992. Guatemala, August 3rd, 1993. Costa Rica, June 26th, 1995. Panama, March 20th, 1996. Belize, November 27th. 2000. Dominican Republic, December 10th, 2003. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT THE ADHESION PROCESS TO SICA

10. El Salvador, June 5th, 1992. Honduras, June 8th, 1992. Nicaragua, July 4th, 1992. Guatemala, August 3rd, 1993. Costa Rica, June 26th, 1995. Panama, March 20th, 1996. Belize, November 27th. 2000. Dominican Republic, December 10th, 2003. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT THE ADHESION PROCESS TO SICA

11. El Salvador, June 5th, 1992. Honduras, June 8th, 1992. Nicaragua, July 4th, 1992. Guatemala, August 3rd, 1993. Costa Rica, June 26th, 1995. Panama, March 20th, 1996. Belize, November 27th. 2000. Dominican Republic, December 10th, 2003. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT THE ADHESION PROCESS TO SICA

12. El Salvador, June 5th, 1992. Honduras, June 8th, 1992. Nicaragua, July 4th, 1992. Guatemala, August 3rd, 1993. Costa Rica, June 26th, 1995. Panama, March 20th, 1996. Belize, November 27th. 2000. Dominican Republic, December 10th, 2003. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT THE ADHESION PROCESS TO SICA

13. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT Central American Customs Union Central American Customs Union DR-CAFTA CA–UE Association Agreement CA–UE Association Agreement Bilateral BilateralAgreements SICA’S TRADE STRATEGY

14. “Recalling the common strategic objective of the Guadalajara Declaration and taking into account the positive outcome of the joint assessment exercise on regional economic integration carried out with Central America, we welcome the decision taken by the European Union and Central America to launch negotiations for an Association Agreement, including the establishment of a Free Trade Area. ” Vienna Declaration, May 2006. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT

15. Demographic facts The size of the market SICA trade partners A world to discover OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT SICA COUNTRIES

16. Association Agreement Central America – European Union Negotiations started in October 2007 in Costa Rica and concluded in Madrid in may 2010. Panama integrated fully into the negotiation process in January 2010. The Association Agreement was rubricated in Brussels on march 2011 by Central American Ambassador in Brussels. The College of Commissioners adopts the signing proposal and provisional application of the trade pillar and completion of the Association Agreement. (Taken from internal presentation Embassy of Costa Rica in Brussels)

17. Association Agreement Central America-EU The Association Agreement between Central America and the EU was signed on 29 june 2012, during the XXXIX Meeting of Heads of State and Government of Central America in Tegucigalpa, Honduras It is the first region to region agreement. The agreements needs to be submitted to the pertinent legislative bodies in both regions for its entry into force.

18. Demographic facts OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT

19. 2012 53.3 millions inhabitants Sources: World Development Indicators Database World Bank (2011) and World Development Report (2012) POPULATION OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT

20. The size of the market OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT

21. AREA 559,130 kms²

22. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT 72 DOMINICAN REPUBLIC73.74 74 GUATEMALA60.57 84 COSTA RICA48.77 98 EL SALVADOR33.20 109 PANAMA25.29 112 HONDURAS22.13 127 NICARAGUA16.83 183 BELIZE 2.30 SICA COUNTRIES282.84 SIZE OF THE MARKET* (Billions of US Dollars) *for comparative purposes figures are in PPP Source: 2006 World Bank’s Facts & Statistics.

23. SICA countries 2006 Gross Domestic Product US$282.84 billion* Source: World Bank (2006) GDP GROWTH RATE: 8.87% World Bank’s Ranking of the biggest economies*: 34EGYPT328.80 35MALASYA308.80 36SWEEDEN285.10 37SICA COUNTRIES282.84 39VIETNAM258.60 52VENEZUELA176.40 58SINGAPORE138.60 *for comparative purposes figures are in PPP Source: 2006 World Bank’s Facts & Statistics. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT

24. SICA trade OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT

25. SICA foreign trade: $81.7 billion (X+M) / GDP : 74.3% EU: 20.4% - USA: 21.3% $50.2 billion $31.5 billion EXPORTSIMPORTS OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT 2006 SICA TRADE BALANCE (billions of US Dollars)

26. SICA – EU TRADE: $6.55 billion $3.99 billion $2.56 billion EXPORTSIMPORTS OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT 2006 SICA – EU TRADE BALANCE (billions of US Dollars)

27. SICA – BEL/LUX TRADE: $581.6 Million $228.13 Million $353.47 Million EXPORTSIMPORTS OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT 2006 SICA – BEL/LUX TRADE BALANCE (Millions of US Dollars)

28. 2006 : Top Imports from the EU (First ten chapters) OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT 1Electronic devices$900.5 2Machinery$410.7 3Pharmaceuticals$255.9 4Mineral fuels$239.3 5Chemicals$198.2 6Vehicles and transportation $173.7 7Iron and steel$107.2 8Plastics and/or plastic manufactures$92.2 9Precision devices$86.1 10Paper, carton and celulose$83.7 11Fertilizers and pesticides$83.7 in millions of US Dollars - Source: 2007 SIECA TRADE STATISTICS

29. 2006 : Top Exports to the EU in millions of US Dollars - Source: 2007 SIECA TRADE STATISTICS OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT 1Coffee$704.6 2Tropical Fruits$605.4 3Electronics and microchips$320.7 4Flowers and green plants$109.1 5Fisheries$97.9 6Processed tropical foods$95.8 7Precision and medical instruments$54.3 8Beef and canned foods$48.9 9Minerals$42.7 10Mineral fuels$40.4

30. OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT A world to discover

31. 2006: VISITORS TO OUR COUNTRIES 13,058,583 Sources: DITUR/ SG-SICA. & Dom. Republic Tourism Office. 2006 OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT

32. 2006: REVENUES GENARATED BY TOURISM: $9,89 Billions OPEN FOR BUSINESS, OPEN FOR TRADE, OPEN FOR INVESTMENT Sources: DITUR/ SG-SICA. & Dom. Republic Tourism Office. 2006

33. Thank you