The National Assembly (Parliament) of Nicaragua unanimously approved this Thursday, unanimously, the “Early Harvest Agreement” signed with China last July, and which is considered a preliminary step to the establishment of a Free Trade Agreement (FTA) between both countries.
With the favorable vote of the 91 deputies of the Nicaraguan National Assembly, with an official majority, the Legislature gave its approval to an agreement that consists of identifying the export products of Nicaragua and China to which preferential tariffs will be generated in an FTA .
The “Early Harvest Agreement” will come into force once it is approved by the Chinese Legislature.
It will allow Nicaragua to export some products without tariffs to China, regardless of the signing of the FTA, among these, bovine offal, shellfish, vegetables, red beans, raw peanuts, rum, clothing textiles and automotive harnesses, according to the Nicaraguan Ministry of Promotion, Industry and Commerce (Mific).
For its part, China will have the same treatment to export to Nicaragua plants and flowers, garlic, sweet corn, sardines and tuna, confectionery products, plants, bakery products, fish feed, insecticides, fungicides, herbicides, plastic products, tires for buses and trucks, raw materials for textiles, and toys, according to Mific.
Related news: Nicaragua signs agreement with China to export meat and beans without taxes
Nicaragua recently announced that the FTA negotiations with China will begin at the end of September.
Last January, Nicaragua and China signed a memorandum of understanding to establish a “mechanism for political consultations”, as well as a “macro agreement” of mutual support, another on commercial cooperation, and another to exempt diplomatic passport holders from visas. from both countries.
Nicaragua reestablished relations with China last December, immediately after breaking with Taiwan, one of its best economic partners and one of its main cooperators at the time of the break.
Nicaragua has trade agreements with Chile, the United States, Mexico, Panama, and the Dominican Republic, and an association agreement with the European Union, according to official records.
