Mexico and Venezuela renew San Jose Accord
Mexico and Venezuela renewed the San Jose Accord whereby the two oil producing nations supply a total of 160,000 bpd
of crude to 11 Central American and Caribbean nations at discount prices.
The document was signed simultaneously in Mexico and Venezuela by Presidents Vicente Fox and Hugo Chavez, according to a joint communique.
The San Jose Accord came into existence on Aug. 3, 1980, and it has never been suspended. The countries that benefit
from the special crude prices are Barbados, Belize, Costa Rica, El Salvador, Guatemala, Haiti, Honduras, Jamaica,
Nicaragua, Panama and the Dominican Republic, the communique noted.
The pact also establishes "a cooperation mechanism to promote the economic and social development of the beneficiary nations."
The cooperation accord finances social-economic development projects in the participating nations, as well as trade
of goods and services by Mexican and Venezuelan firms.
Mexico and Venezuela each provide half of the total 160,000 bpd of the crude sold at discount prices.