Brasília - Minister of Foreign Relations, Celso Amorim, speaking following a meeting with his colleague from Mexico, Luis Ernesto Derbez, declared that the two governments are in complete agreement on a desire to work toward a Mercosur-Mexico free trade agreement. "Total reciprocity of intentions," is the way Amorim described it. "Both president Fox and Lula want to close out a free trade agreement joining Mercosur and Mexico," said the minister.

Derbez and Amorim also began negotiations on expanding an existing agreement between Brazil and Mexico, known as the ACE-53, which will increase the number of products in the agreement.

The ministers agreed to set up an interministerial Binational Commission, which should meet in the second half of this year, perhaps when Vicente Fox visits Brazil. Lula has already visited Mexico a number of times. This is Derbez's first visit to Brazil.

WTO

Amorim told Derbez that Brazil's top priority is to pursue G-20 objectives and do that at the World Trade Organization. He said Brazil intends to keep G-20 objectives uppermost, even in bilateral negotiations, including those with the European Union.

"The WTO is the forum where we and the G-20 are negotiating farm subsidies. Brazil and Mexico are members of the G-20 where we have many mutual objectives, including nuclear disarmament. Our bilateral relations are a model for other developing nations," said Amorim. He added that Brazil and Mexico are optimistic about WTO negotiations and the chances for free trade and the end of subsidies in developed nations. Derbez called for progress in the Doha round of WTO talks.

As for Free Trade Area of the Americas (FTAA) negotiations, Amorim said they were not bogged down. He said that "if we can hold to the spirit of Miami [for a more flexible FTAA], we can meet the 2005 deadline.

IMMIGRATION

The two governments also agreed on cooperation in the area of consular relations and immigration. Neither country requires visas for citizens of the other. "We want to deal with this problem in such a way so as not to reduce the flow of people," said Amorim. Mexico, of course, with its US border, has specific problems in this area that the two ministers discussed, including the recent expansion of US screening. In October, Brazil will attend a meeting in Mexico City on immigration and consular relations.

Translator: Allen Bennett