site.btaBulgaria, Brazil to Establish Commission for Economic Cooperation

Bulgaria, Brazil to Establish Commission for Economic Cooperation

Brasilia/Sofia, February 2 (BTA) - Bulgaria and Brazil will further develop their trade and economic ties by creating an intergovernmental commission for economic cooperation, which will hold its constituent session in the second half of 2016. This was agreed on during a meeting between Bulgarian Economy Minister Bozhidar Loukarski and Magalhaes Furlan, the Executive Secretary of Brazil Ministry of Development, Industry and Foreign Trade, which took place within the official visit of the Bulgarian delegation led by President Rosen Plevneliev to Brazil, the Economy Ministry said in a press release Tuesday.

Minister Loukarski and Furlan signed a joint declaration in which they express readiness to promote bilateral trade and open a new chapter in economic cooperation. The document also expresses support for the successful conclusion of the EU-Mercosur partnership agreement.

The declaration states the desire for bilateral cooperation in the sphere of information and communication technologies, scientific and research activity, agriculture and food industry, transport, energy efficiency and clear technologies, and other spheres of mutual interest. By signing the document, the Bulgarian side invites Brazilian companies to create production capacities aimed at export to the markets of third countries. On its part, Bulgaria will be able to take advantage of Brazil's strategic location that offers easy access to the market of South America.

The declaration is based on an intergovernmental agreement between Brazil and Bulgaria signed on October 5, 2011, when Brazilian President Dilma Rousseff was in Bulgaria. The document was ratified and entered into force on January 13 this year.

During his meeting with the Bulgarian Economy Minister, Furlan said that the agreement's ratification gives hope that the bilateral economic relations will continue on a stable basis. He said he expects Bulgaria's support in the negotiations between the EU and Mercosur, because such an agreement would be to the benefit of both economic communities. Loukarski confirmed his country's support for the conclusion of the partnership agreement.

In Loukarski's words, the relations between Bulgaria and Brazil are developing well in the economic sphere but there is a much wider area for action, the signed declaration being only the beginning.

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Brazil is the biggest trade partner of Bulgaria in Latin America and the Caribbean Basin but in the last years the volume of the bilateral trade has seen a downward trend. In January-September 2015, this trade dropped by 22 per cent compared to the same period of 2014, amounting to 51,415 million US dollars.

In 2013, Brazil was the second biggest investor in EU Member States, with investments of 21.5 billion euro. In the last 10 years, Brazil's total investments in the EU exceeded 100 billion euro. Data of the Bulgarian National Bank show that in 2003-2014 the Brazilian investments in Bulgaria amounted to 4.3 million euro.