Andean Community

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Andean Community

Andean Community

Andean Community, organization of South American countries located along the Andes Mountains, whose aim is to facilitate development of member nations through economic and social cooperation. The Andean Community (also known as the Andean Group) was established in 1969 by authority of an agreement reached in Cartagena, Colombia. Its founding members were Bolivia, Chile, Colombia, Ecuador, Peru, and Venezuela. Chile withdrew from the organization in 1976 and Venezuela in 2006. Mexico, Panama, and Chile hold observer status.

The Andean Community coordinates the commercial, industrial, and financial policies of member nations, with the goal of promoting the independence and strength of the regional economy. Although trade within the group represents only a tenth of the total volume of international trade for the group members, it has more than doubled since 1990. The benefits of regional growth have not spread evenly among member nations, however. In the early 1990s, for example, Peru’s economy grew at an average rate of almost 10 percent, but Venezuela’s economy diminished. Broad disparities also remain in the gross domestic products (GDP) of member nations, with Venezuela’s and Peru’s GDPs both nearly double that of Bolivia.

At a 1996 summit meeting in Trujillo, Peru, Andean Community members reorganized the trading bloc to more closely resemble the European Union (EU). The countries committed themselves to several measures designed to create greater unity. These measures included replacing the current bureaucracy with a secretariat possessing executive powers to resolve disputes, direct election of a parliament by citizens of the member states, and formation of a customs union.

In April 1998 the Andean Community signed an agreement with the countries of Mercosur, agreeing to create a free trade area by 2005. The deal reflected the increasingly strong economic ties between member states and others in the region. Intraregional exports rose from U.S.$1.1 billion in 1970 to U.S.$5.6 billion in 1997, and foreign investment exceeded U.S.$9 billion. In 2000, after a sharp drop in 1998 and 1999, the total trade figure with the United States amounted to U.S.$40 billion (U.S.$13 billion in exports and U.S.$27 billion in imports). (1)

Definition of Andean Community

Within the context of international organizations, the following is a brief meaning of andean community: The Andean Community is a customs union comprising the South American countries of Bolivia, Colombia, Ecuador, and Peru. The trade bloc was called the Andean Pact until 1996 and came into existence when the Cartagena Agreement was signed in 1969. Its headquarters are in Lima, Peru. Its objective is to end trade barriers among member nations and create a common market.

Andean Community (CAN)

The Andean Community, abbreviated as CAN (from the Spanish Comunidad Andina), is a community of four South-American countries aiming at more rapid, better balanced and more autonomous economic and social development through Andean, South American and Latin American integration

World economic regions (outside EU) and CAN (dark green)

Current CAN Member countries are:

Bolivia (BO) Colombia (CO)

Ecuador (EC) Peru (PE)


See Also

  • International Organization
  • Foreign Relations
  • Intergovernmental Organization
  • Regional Organization
  • Regional Integration


Further Information

Andean Community – Comunidad Andina

See Also


North American Free Trade Agreement


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See Also

  • International Organization


Notes and References

  1. Encarta Online Encyclopedia

See Also

Definition of Andean Community in International Trade

The following is a concept of Andean Community in the context of international trade law, from the Dictionary of International Trade (Global Negotiator): Community of four Latin America countries (Bolivia, Colom_bia, Ecuador and Peru), that decided voluntarily to join together for the purpose of achieving more rapid, better balanced and more autonomous development through Andean, South American and Latin American integration. Website.

Hierarchical Display of Andean Community

International Organisations > Extra-European organisations > Latin American organisation
Geography > Economic geography > Andean Community countries

Andean Community

Concept of Andean Community

See the dictionary definition of Andean Community.

Characteristics of Andean Community


Translation of Andean Community

Thesaurus of Andean Community

International Organisations > Extra-European organisations > Latin American organisation > Andean Community
Geography > Economic geography > Andean Community countries > Andean Community

See also

  • Andean Group
  • Andean Pact
  • Cartagena Agreement

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