The recent launch of a customs union between Guatemala and Honduras marks a paradigm shift in region-building in the Americas. It may offer key lessons to other Latin American countries seeking to leverage their existing interdependence.
Should Latin America continue to put all its eggs in the commodity basket hoping for a return of the good times? Of course not. The region must diversify its economic base to focus on manufacturing and services as well. In the meantime, the agricultural sector needs greater unity across the sector to improve productivity, efficiency, and innovation.
Businesses and investors in Latin America and the Caribbean are struggling to find qualified workers to fill jobs. It’s up to the private sector to step up to provide the skills-based training and apprenticeships needed.
In a series of posts—this our first—we will assess whether it is not only desirable but also possible that the two divergent trade blocs of Pacific Alliance and MERCOSUR in Latin America can converge as Chile is now pushing. Or is this just another exercise in empty political posturing?