Argentina and the Caucasus since 1991

At first glance, it might appear that Latin America in general and Argentina in particular are so far removed from the post-Soviet Caucasus that any contacts between them will be limited to formalities.  But in fact, in the case of Argentina and each of the three Caucasus countries, there are reasons that the relationships have gone beyond that.  There is a sizeable Armenian community in Argentina which ensures that the country will focus on Yerevan.  Azerbaijan’s growing economy and its role as a bridge to Central Asia make it a very attractive partner for Argentina.  And Georgia’s problems may provide an opportunity for Argentina to play a larger role on the world stage. Now, as the world approaches the 20th anniversary of the disintegration of the Soviet Union, is an especially appropriate time to survey the evolving relationships between Argentina, on the one hand, and each of the three countries of the Caucasus, on the other.

Armenia

Argentina and Armenia established diplomatic relations in January 1992, just two weeks after the formal dissolution of the USSR; and five months later Armenian President Levon Ter Petrosian visited Argentina, actions that reflect the influence of the 130,000-strong Armenian diaspora in that country.  In 1993, Yerevan opened an embassy in Buenos Aires, although Argentina did not do so in Armenia until May 2010.  Despite that delay, however, President Carlos Menem visited Armenia in 1998, and other senior Argentine leaders visited over the following decade.

Subsequently, the Armenian foreign minister visited Argentina during the first week of January 2011, just three weeks before the official trip of the Argentinean President Cristina Fernández to Turkey.  In sum, the bilateral relations between Argentina and Armenia are centered on maintaining close ties based on the interests of the Armenian government and the Armenian community living in Argentina.  

With regard to economic relations, the situation remains unbalanced, with Argentine exports amounting for 90 percent of all trade (see Table 1).

Table 1. Armenian-Argentine trade flow 2000-2010 (ths. USD) [1]

Year Exportations from Argentina Importations from Argentina Trade balance

1998 - 0 0

1999 21 1 20

2000 33 0 33

2001 51 1 50

2002 694 -  694

2003 400 2 398

2004 2,319 0 2,319

2005 1,687 1 1,686

2006 2,595 -  2,595

2007 5,217 0 5,217

2008 2,288 3 2,285

2009 2,849 122 2,727

2010 211 21 190

Azerbaijan

Argentina and Azerbaijan established relations in November 1993, but contacts between the two countries in the 1990s and early 2000s remained sporadic.  However, recently relations have begun to expand rapidly.  In August 2010, Azerbaijan opened its embassy in Argentina, Baku’s first diplomatic mission in South America, with Mammad Ahmadzade as resident ambassador.  Another milestone was the visit that Deputy Foreign Minister of Argentina, Alberto D'Alotto, made to Azerbaijan in November 2010.  During his visit, a variety of bilateral cooperation agreements were signed, including one calling for continuing political consultations.

Azerbaijan’s Foreign Minister Elmar Mammadyarov emphasized that one of the main priorities of Baku’s policy toward Argentina was to end what many viewed as an aggressive policy by Armenia there and to expand economic ties.  Argentina was pleased with this gesture by Baku because many had thought Azerbaijan would open its first Latin America mission in Brazil.  Although Argentina does not have a resident ambassador in Baku, Buenos Aires plans to open an embassy there later this year. 

Commercial statistics show a growing but still modest presence of Azerbaijan in Argentinean foreign trade from 2006 onwards (see Table 2).  While the imbalance remains (as in the Armenian case), the opening of the embassy in Buenos Aires should serve to broaden contacts between businessmen from the two countries.  Azerbaijani officials say there is a concrete interest in Argentine agricultural technologies in addition to traditional exports of pharmaceutical products and soybean oil.

Table 2. Azerbaijani-Argentine trade flow 2000-2010 (ths. USD) [2]

Year Exportations from Argentina Importations from Argentina Trade balance

1998 102 0 102

1999 - 1 1

2001 543 -  543

2002 287 -  287

2003 118 -  118

2004 373 1 372

2005 782 64 718

2006 981 121 860

2007 3,306 99 3,207

2008 3,424 70 3,354

2009 3,385 115 3,270

2010 2,121 46 2,075

 

Given the influence of the Armenian community in Argentina, and as it is recognized by Azerbaijani decision makers, one of the best investments Azerbaijan can make will be an expansion of its public diplomacy effort in Buenos Aires.  

Georgia

Argentina established diplomatic relations with Georgia in November 1992, but neither country has a resident ambassador in the other.  Georgia’s ambassador to Argentina is based in Brazil, and Argentina’s ambassador to Georgia is based in Turkey.  Despite a series of agreements, the most recent in November 2009, ties between the two have not moved much beyond the formal.  Since August 2008, when Venezuela and Nicaragua recognized Abkhazia and South Ossetia, Georgia has adopted a much cooler approach to Latin America, although Argentina, which has not recognized these republics, is viewed as a positive exception to that pattern in Tbilisi.

Table 3. Georgian-Argentine trade flow 2000-2010 (ths. USD) [3]

Year Exportations from Argentina Importations from Argentina Trade balance

1996 6,844 8 6,836

1997 1,540 5 1,535

1998 6,201 12 6,189

1999 2,546 203 2,343

2000 1,643 4,457 -2,814

2001 28 3,728 -3,700

2002 102 288 -186

2003 516 11,740 -11,224

2004 642 7 635

2005 1,423 10,635 -9,212

2006 3,972 21,233 -17,261

2007 3,116 -  3,116

2008 6,869 153 6,716

2009 6,209 37 6,172

2010 4,085 20 4,065

 

As a consequence, Tbilisi focused on Brazil and then on Argentina.  Brazil was chosen due to its growing international status as a new regional power.  Argentina became the Georgian second best option in Latin America.  Buenos Aires, on the other hand, sees the relationship in terms of economy: Georgia is the first partner in the Caucasus regarding Argentinean exportations to that region (see Table 3).    

Notes

[1] The table is derived from the website of Asociación Latinoamericana de Integración (ALADI, Latin American Integration Association), http://www.aladi.org. 

[2] The table is derived from the website of Asociación Latinoamericana de Integración (ALADI, Latin American Integration Association), http://www.aladi.org.

[3] The table is derived from the website of Asociación Latinoamericana de Integración (ALADI, Latin American Integration Association), http://www.aladi.org.