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The Republic of Argentina, the Federative Republic of Brazil, the Republic of Paraguay, the Eastern Republic of Uruguay and the Bolivarian Republic of Venezuela, henceforth the parties:

Reaffirming the principles and objectives of the Montevideo Treaty (1980) and the Asuncion Treaty (1991);

Considering the Framework Agreement for the adhesion of the Bolivarian Republic of Venezuela to Mercosur, subscribed on 8th December 2005;

Reaffirming the importance of the adhesion of the Bolivarian Republic of Venezuela to Mercosur, for the consolidation of South and Latin America’s processes of integration;

Considering that the process of integration must be a tool to promote integral development, to eradicate poverty and social exclusion, based on complementarity, solidarity and cooperation;

Taking into account that the Bolivarian Republic of Venezuela will guide their integration to Mercosur in accordance with the agreements set by this Protocol and under the principles of gradualism, flexibility and balance, recognizing asymmetries, affording preferential treatment and upholding the principles of alimentary security, integral rural development and providing the adequate means of subsistence;

Agree

Article I

The Bolivarian Republic of Venezuela adheres to the Asuncion Treaty, the Ouro Preto Protocol, the Olivos Protocol for the solution of controversies within Mercosur, all of which appear as Annexes I, II and III to the terms established in article 20 of the Asuncion Treaty.

The parties agree to make any necessary amendments to Mercosur’s regulations in order to fully apply the present Protocol.

Article II

The mechanism for the solution of controversies established by the Olivos Protocol will apply to the Bolivarian Republic of Venezuela in those controversies relating to Mercosur regulations that were in place prior to the application of the present Protocol, while the Bolivarian Republic of Venezuela progressively adopts these regulations.

Article III

The Bolivarian Republic of Venezuela will gradually adopt Mercosur’s legal acquis, having a maximum of four years to do so, from the date the present instrument becomes effective. To this effect, the Working Group created in accordance with Article 11 of this Protocol will establish the schedule to be followed in the acquisition of Mercosur’s normatives.

Those Mercosur regulations that are not fully incorporated at the time the present instrument becomes effective, will come into force with the incorporation of the legal codes of original member countries to Mercosur. The Bolivarian Republic of Venezuela will adopt such regulations, in accordance with the terms established in the previous paragraph.

Article IV

The Bolivarian Republic of Venezuela will have a maximum of four years, from the date the present instrument becomes effective, to adopt Mercosur’s Common Nomenclature and the Common External Tariff. To this effect, the Working Group created in accordance with Article 11 of this Protocol will establish the schedule of adoption, taking into consideration the exceptions that apply in accordance with the relevant Mercosur regulations.

Article V

The parties agree to implement free trade according to the following deadlines:

1- Argentina to Venezuela: 1st January 2010*
2- Brazil to Venezuela: 1st January 2010*
3- Paraguay to Venezuela: 1st January 2013*
4- Uruguay to Venezuela: 1st January 2013*
5- Venezuela to Argentina: 1st January 2012*
6- Venezuela to Brazil: 1st January 2012*
7- Venezuela to Paraguay: 1st January 2012**
8- Venezuela to Uruguay: 1st January 2012**

* except for sensitive products, where the deadline to apply will be 1st January 2014
** except for the principal products of their relevant export offer, included in Annex XX of the present Protocol, which will enjoy immediate tax exemption and effective access

To these effects, the Working Group created in accordance with Article 11 of this Protocol will establish a program of commercial liberalization in accordance with their respective schedule.

The program of commercial liberalization will apply to all custom tariffs and equivalent measures, except where current Mercosur regulations specify otherwise.

During the program of commercial liberalization’s transition period, and until the Bolivarian Republic of Venezuela adopts Mercosur’s Original Regime, the Original Regime established by the Agreement of Economic Complementarity number 59 will be applied.

Article VI

The rules and normatives established by the Agreement of Economic Complementarity number 59 will become obsolete no later than on 1st January 2014.

Article VII

The Working Group created in accordance with Article 11 of this Protocol will define the conditions and courses of action to be negotiated with third countries or groups of countries involved, for the adhesion of the Bolivarian Republic of Venezuela to the international instruments and Agreements that fall within the framework of the Asuncion Treaty.

Article VIII

The parties accept that the Bolivarian Republic of Venezuela will be part of the Mercosur delegation when negotiating with third parties. This will become effective once the present Protocol is subscribed and until the date it comes into force.

Article IX

The parties reaffirm their commitment to cooperate in order to identify and apply measures to promote social inclusion and to guarantee the dignified existence of their peoples.

Article X

From the date the present Protocol comes into effect, the Bolivarian Republic of Venezuela will be considered a member country of Mercosur, and will assume the rights and responsibilities of a full member, in conformity with article II of the Asuncion Treaty, and the terms of the present Protocol.

Article XI

In order to develop the tasks specified in the present Protocol, a Working Group formed by representatives of the parties will be created. The Working Group will meet for the first time within thirty (30) days of the subscription of the present Protocol. These tasks will need to be completed in a maximum of one hundred and eighty (180) days after the first meeting.

Article XII

The present Protocol, as an additional instrument of the Asuncion Treaty, will come into effect thirty (30) days after the fifth instrument of ratification is presented.

The Republic of Paraguay will be the Trustee of the present Protocol and the instruments of ratification, and will notify the parties when instruments of ratification are presented.

Subscribed in the city of Caracas, Bolivarian Republic of Venezuela, on 4th July 2006 in two original copies of equal content, in Spanish and Portuguese languages.

Republic of Argentina
Federative Republic of Brazil
Republic of Paraguay
Eastern Republic of Uruguay
Bolivarian Republic of Venezuela

(Translation for Portal ALBA by Damaris Garzón)

Original document: http://www.alternativabolivariana.org/modules.php?name=News&file=article&sid=833