Western leaders set date for start of trade

SANTIAGO, Chile (AP) - Leaders of the Western Hemisphere's 34 democracies overlooked political and economic uncertainties yesterday and forged ahead with a bold plan for hemispheric duty-free trade by 2005. They directed negotiations to begin in September.

The assembled leaders, at the second Summit of the Americas, directed negotiations, covering nine distinct areas of trade, to be held in Miami for the first three years.

"Here in Santiago the ground has been broken for the largest free trade area in history," Chilean President Eduardo Frei told the concluding summit session, where all 34 leaders signed the Declaration of Santiago.

The combined economies would total $9 trillion, he said.

"Our journey from Miami to Santiago was ... from words to deeds," President Clinton said. "Today we launch comprehensive negotiations for a free trade area of the Americas."

Clinton, who hosted the first Summit of the Americas in Miami in 1994, said the work to complete a free-trade zone from Alaska to Cape Horn will be difficult.

Clinton cautioned that democracy was still fragile in some parts of the hemisphere.

"We must continue to stand fast for democracy ... with no holdouts and no backsliders."

Communist Cuba, the only country in the hemisphere not invited to Santiago remained a point of contention.

"There is a country that is missing," Brazilian President Fernando Henrique Cardoso told the concluding session. "They have a social commitment. They are very much concerned with education and with health care. Why should we not make steps toward democracy there? These are changes that are welcomed by all so that tomorrow in the future we can say that our Americas are just one. It is a brotherhood of countries and united."

Clinton also said the nations needed to find ways for ordinary citizens to feel the benefits of economic development and political reforms.

"For all our progress, we all admit that too many of our citizens have not yet seen their own lives improve," he said.

The leaders signed the pact one by one. As each country's name was called, the leader walked down a long red carpet to the front of the ornate chamber of the Foreign Ministry, sat and signed the document.

04-20-98

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