ALBA:
AN
ALTERNATIVE VISION FOR HEMISPHERIC TRADE
THE DAWN OF A NEW ERA
In Spanish, the word alba means “dawn.” It is also the name of a bold plan for Latin
American integration proposed by Venezuela in 2001 as an alternative to the U.S.-backed
Free Trade Agreement of the Americas (FTAA). The Spanish acronym for the FTAA
is ALCA. President Chávez called for an ALBA, the Bolivarian Alternative for the
Americas. Venezuela, Bolivia, Nicaragua and Cuba are already
members of this regional initiative, and social movements in the hemisphere are
lending their support, as well.

THE IDEOLOGY BEHIND ALBA
ALBA is based on concerns that are central to the international
relations aims of the Chávez government: Latin American Unity and the promotion
of a Regional Social Agenda. The concept of Latin American Unity was pioneered by the 19th century
independence leader Simón Bolívar, and subsequent Latin American leaders have
repeated his call to build a political and economic union. In recent years, growing
support for regional integration has led to the development of smaller economic
alliances such as Mercosur. Venezuela's ALBA project, however, is that
which most closely matches historical and ongoing
aspirations for progressive regional movements for economic, political and
social integration. Venezuela has also emerged as a leader in developing a regional social agenda to address problems
of poverty, hunger, disease and social exclusion that are rampant in the
hemisphere. The Chávez administration is committed to helping neighboring
countries cope with social crises stemming from failed economic policies imposed
by international financial institutions like the International Monetary Fund (IMF)
since the 1980s.
ALBA'S FOUNDING PRINCIPLES
Though President Chávez first called for the creation
of ALBA in 2001, the project began in earnest in December 2004, when Chavez met
with Cuban President Fidel Castro to sign a Join Agreement on ALBA.[i] Among its main points are the following:
BOLIVIA & NICARAGUA
JOIN ALBA
The political panorama in
Latin America has been evolving quickly in recent years, with progressive social
leaders becoming elected to the highest levels of government. As a result, two
new governments have agreed to become members of ALBA in the last year and a
half, and many political movements have expressed interest in the ALBA
agenda.
Nicaragua signed onto ALBA on January
10th, 2007, the day Daniel Ortega was inaugurated as President. Bolivia became a member of ALBA in June 2006,
shortly after Evo Morales was elected president. Bolivia introduced the Peoples’
Trade Treaty, which counters the negative effects of free trade
agreements by setting preferential trading terms for traditional exports often
put at risk by these FTAs.[iv]

ALBA AGREEMENTS
Since ALBA's official start in December 2004, Venezuela
has signed 15 agreements with 18 different countries in Latin America and the
Caribbean These agreements have extended trade relations between Venezuela and
the signatories in accordance with the principles set forth in the 2004 Joint
Agreement.
Energy: Petrocaribe is an agreement signed on June 29th,
2005 to help reduce social inequalities and raise the standard of living in Latin
America through cooperation in oil and gas provision.[v]
Specifically, Petrocaribe seeks to ease the energy burden on the Caribbean by
providing countries with direct access to oil at market prices and made
affordable to all through the use of beneficial financing terms.
Health and Education: Venezuela and Cuba are
working together to provide literacy and healthcare programs to other countries
in the region. For example, Mission Robinson is a literacy program
that has taught millions of Venezuelans new skills and was extended to Bolivia
in 2006.[vi] Barrio
Adentro provides free basic medical care, while Mission Miracle has provided free care to individuals from over a
dozen countries including the United States.
A Latin American School of Medicine founded in Venezuela in April 2007 has
thus far trained 2,000 doctors to provide basic health services to patients in poor
communities in the region.[vii]
ALBA INITIATIVES
The 5th ALBA Summit was held in Caracas in April
2007, and brought together leaders from the member countries – Presidents Chávez,
Morales (Bolivia), Ortega (Nicaragua) and Vice President Lage (Cuba) – to
discuss mechanisms to strengthen ALBA.[viii]
Grand-National Companies: Initiatives discussed at the
ALBA summit included a plan for the creation of 12 public companies that would be co-managed by ALBA
member states, and whose activities would be focused around strengthening key
sectors of national economies. This is slated to help diminish the asymmetries
that exist within this group of countries in industries including agriculture,
infrastructure, telecommunications, industrial supplies, and cement production.
A Grand-National Energy Company, will encompass activities linked to the
production, refining, storage, transportation and distribution of oil and gas,
as well as the development of alternative energies throughout the region.
The ALBA Bank: In order to finance these
initiatives, the foreign ministers agreed in June of 2007 to create an ALBA Bank, and, in order to better coordinate projects, they agreed to create
a Permanent Secretariat for ALBA.
Other initiatives that are being planned within the Grand-National framework
include the creation of ALBA Cultural Centers (or Casas del ALBA) in the capital cities of ALBA countries as well
as in Ecuador and Haiti, a chain of ALBA markets featuring goods from the member
countries, and training programs for future social workers.
ALBA & SOCIAL
MOVEMENTS
During the 5th Summit of ALBA, a group of
representatives of some of the hemisphere’s important social movements met to
develop a common position on ALBA and present it to the four member
governments. Leaders of major peasant organizations, indigenous and Afro-descendant
movements, social justice organizations, women's organizations, labor organizations,
youth movements, and anti-free trade groups formulated an additional set of principles that they called on ALBA
governments to defend. These include: the fight against social exclusion, the
defense of social, economic, cultural and labor rights, the defense of food
sovereignty, women’s rights, and recognition of the plurality of cultures that
exist among Latin American and Caribbean peoples. The leaders agreed to share
their knowledge of ALBA principles with others in their movements, and to
organize educative meetings and seminars at the national level in their
respective countries.[ix]
This demonstration of
solidarity on the part of diverse organizations like the two-million strong
Brazilian Landless Workers Movement, the international small farmer
organization Vía Campesina, as well
as important social justice movements like Jubilee South, Hemispheric Social Alliance, and major national labor
federations shows the extent of grassroots support for ALBA throughout the hemisphere. Many of these organizations
play key political roles in their respective countries, or are destined to play
important political roles in the future, as progressive movements gradually
take on more positions of national leadership.
[i] The full text of the declaration is
available in Spanish: http://www.cuba.cu/gobierno/discursos/2004/esp/d141204e.html
[ii]
See “The Scorecard on Development: 25 years of Diminished Progress,” Center for
Economic and Policy Research, September 2005.
http://www.cepr.net/documents/publications/development_2005_09.pdf
[iii] For
more on the economic, social, and environmental consequences of NAFTA, see http://www.citizen.org/trade/nafta/
[iv]
See an interview with Bolivia’s trade representative: http://www.adital.com.br/site/noticia.asp?lang=ES&cod=22331
[v]
The full text of the ALBA – Petrocaribe Agreement: http://www.alternativabolivariana.org/modules.php?name=Content&pa=showpage&pid=232
[vi]
“ALBA to teach Millions More to Read,” Prensa
Latina, July 18, 2007. http://www.plenglish.com/article.asp?ID=%7B258227EE-FB77-44AC-8817-934E8EF35BE3%7D)&language=EN
[vii]
Venezuela’s ELAM has a web page with detailed information regarding the school
and the Program for Integral Community Medicine: http://www.elam.edu.ve/
[viii]
Agreements signed during the 5th Summit of ALBA are on the website of
Venezuela’s foreign ministry: http://www.mre.gob.ve/Noticias/A2007/cumbre%20Alba/Documentos.htm
[ix] Declaración
del Encuentro de los Movimientos Sociales en el marco de la V Cumbre del
ALBA-TCP: