Central America To Open Partnership Negotiations With European Union
Leaders of Central American countries at the summit meeting of Central American Integration System - SICA in San José, agreed to set up a rotating mechanism in a bid to open partnership negotiations with the European Union (EU) in 2007.

The mechanism calls for any country of SICA holding talks with the EU to launch negotiations with the European bloc representing all member countries.

In May 2006, SICA and the EU agreed to start negotiations early 2007 to reach a bilateral partnership deal.

The partnership is expected to include free trade agreement, political dialogue mechanism and cooperation mechanism. President Manuel Zelaya Rosales of Honduras after the summit said the past 20 years of Central America's experience showed that protectionism in trade and economic blockade would exacerbate poverty, foment social instability and brew governmental corruption.

He added that all Central American countries are in line to open up their economies with regional integration in efforts to bridge the gap between the rich and the poor.

The Panamanian President Martin Torrijos stated the integration process and its free trade talks with the EU are expected to bring in more investment and create more job opportunities in the region.

The Central American Integration System or SICA was formed, intended to promote Central America into a region of peace, with liberty, democracy and long-term development. Member countries include Belize, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama. It was established in 1993 with headquarters in San Salvador, El Salvador.