Seven points agreed upon by Argentina and Uruguay to seal lasting peace

RIO DE JANEIRO, BRAZIL – The governments of Argentina and Uruguay made progress on at least 7 points of agreement to strengthen bilateral relations and advance in a lasting peace, as proposed by Presidents Alberto Fernández and Luis Lacalle Pou in the long meeting recently held in Buenos Aires.

The repercussions of “Olivosgate” and the electoral campaign activity overshadowed the over three-hour dinner last week between the presidents of Uruguay and Argentina, but this did not prevent both countries’ Foreign Ministries from quickly starting to work on a “positive agenda,” as they call it. It is a list of topics of agreement between the presidents aimed at improving bilateral ties.

According to Uruguayan and Buenos Aires diplomatic sources, Alberto Fernández and Lacalle Pou decided to set aside their clash at the last MERCOSUR summit by agreeing that “if we are a burden, let them take another boat,” as the Argentine president said.

1- PRESIDENCY OF CELAC

Uruguay’s government expressed its “full support” for Argentina to preside the Community of Latin American and Caribbean States (CELAC), a regional organization through which Argentina seeks to unify left and right wing government positions. Close friends of Uruguayan Foreign Minister Francisco Bustillo, who attended the Olivos dinner, confirmed that Lacalle Pou has decided to support Argentina in this international bid.

2-THE BINATIONAL BRIDGE

An agreement was reached to seek international financing for the construction of the bridge linking the towns of Monte Caseros in Argentina and Bella Unión in Uruguay. “It is a long term project but well underway,” said the Argentine Foreign Ministry. This confirms the decision of the Administrative Commission of the Uruguay River to launch a call for bids for the project. Montevideo said that the bridge will favor intra-MERCOSUR transit in trade matters.

3- EXTRA-MERCOSUR AGREEMENTS

Alberto Fernández reportedly endorsed Uruguay’s proposal to advance in potential extra-MERCOSUR trade agreements. The only condition would have been that each case be analyzed upon Uruguay’s specific requests.

Along these lines, Montevideo said that “the dialogue was greatly improved” in this particular point of friction between the two administrations.

4- PEPIN’S EXTRADITION

Alberto Fernández inquired about the situation of Mauricio Macri’s close collaborator Fabián “Pepin” Rodríguez Simón, currently in Montevideo requesting political asylum in the Uruguayan courts and under investigation for alleged extortions to the Indalo Group, owner of C5N news channel and other media outlets.

Both those close to Alberto Fernández and Lacalle Pou acknowledged that during the Olivos dinner the extradition request by Argentina for Pepín Rodríguez was discussed, although the Uruguayan president made it clear that this issue is in the hands of the Judiciary.

“This is in the hands of the Judiciary, outside the scope of the Executive, and the Refugee Commission submitted a report with its position against granting refuge, so now it is up to the judge to accept the suggestion or otherwise. It is the judge who must rule for refuge and extradition,” Uruguayan diplomatic sources said.

5- BORDER OPENING

Argentina and Uruguay established a new schedule for the opening of “controlled borders” due to the pandemic. Both presidents agreed that after September the agreements will be revised so that not only Argentines with properties in Uruguay, but also all Argentines vaccinated against Covid-19, will be allowed to enter the country.

6-INCREASED TRADE

Trade between Argentina and Uruguay has been decreasing since 2011 and in 2019 the trade balance reached a surplus of US$1.2 billion for Argentina, although Montevideo offsets it with tourism. This was one of the issues addressed at the presidents’ meeting where they agreed to increase the trade flow.

7-THE MAGDALENA CANAL

The construction of the Magdalena Canal is a long-standing project that was revived after a bill recently presented by the now Minister of Defense Jorge Taiana.

It is clear that Argentina will save on service payments that are so far destined to the port of Montevideo and this measure would have a negative impact on the main Uruguayan port. Apparently, Lacalle Pou is inclined to have the Uruguay River Administrative Commission analyze this thorny issue.

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