Trade Promotion Agreement Between Colombia and the United States of America

What is the TPA?

The TPA is an agreement between two or more nations that decide some norms to facilitate the commerce between them, so that their products and services can be changed easier.

Many people say that the TPA between Colombia and United States is bad to this nation but in reality its better for Colombia that for the other nation because of different reasons:

1. In Colombia there will be more investment from the multinational companies, so that the economy grows, because a good economy needs investment
2. The Colombian exporters could enter their products in the biggest economic market, so that they must increase their production. So there will be more employment, the income of the people will increase too, and then there will be more capital and more investment.
3. All the Colombian products can enter in the U.S.A the next day that the agreement had been firmed, but all the American products don't, only the products that Colombia don't produce can enter here. The other products that are cheaper than the one here or had a better quality, because they had assistance or are more efficient, can enter like five or more (10) years later. The ones that will have the longest time are: corn, beans, rice and pieces of chicken.
4. In health services, Colombia has very competitive prices in comparison with the prices of the other countries. Equally when there is a competition, the quality increase and the prices go down.
5. The TPA will be good for every consumer, because there will be a lot of competition, so that all the prices are going to go down. Otherwise there will be more products to choose.

But there are many different points of why must Colombia firm the Agreement:

1. When Colombia doesn't have a preferential way to enter to the U.S market, their products could be replaced for the products of other countries like Mexico, Chile or República Dominicana.
2. The foreign investment will go to other countries of the region
3. The economy would decrease 2,2%
4. The sections that will decrease more with the non-firmed agreement are the workmanship, the leather and his manufacture, and the sugar section
5. When there are more employment, there will be fewer drugs. With fewer drugs, there will be less violence. With less violence there will be more inversion and more economic growth.
6. The political Constitution of 1991 order to an internationalization of the economy