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Andorran Foreign Minister Meritxell Mateu Pi |
By Kim Se-jeong
Staff Reporter
It is a European country smaller than Seoul, with a population of nearly 80,000 people. Are you thinking of the Vatican? Close, but not quite. It is Andorra, formally called the Principality of Andorra, a landlocked country in western Europe.
Andorran Foreign Minister Meritxell Mateu Pi made an official visit to Korea last week. She was the first Andorran high-ranking official ever to visit Korea since the two countries established diplomatic ties in 1995.
"You have a lot of shopping malls like we do," she said as an impression, comparing to thriving shopping culture in her country.
In Europe, especially to visitors from France and Spain, Andorra is a spot for shopping tour.
People prefer shopping in Andorra not only because of its adjacency to neighboring countries or the quality of its commodities, but because of lower tax on goods, the minister said. "If you compare us to Spain and France, we are a very low tax country -19 percent tax on average."
The low tax doesn't stop at commodities sold in Andorra. Most goods made in Andorra pay significantly lower tax when exported out of the European market.
"Seventeen years ago, we signed a customs agreement with the European Union. The agreement allowed industrial products made in Andorra to enter the EU market. Under that agreement, there's no tariffs or other border taxes," she said.
In other words, investors in the non-member state of the EU get the same benefits as EU countries, having full access to the 500-million market. Agricultural products are, however, excluded.
This was the core message that the young and ambitious minister wanted to convey to prospective Korean investors during her three-day visit.
She said the Andorran business sector anticipates better business connections with Korea. "We know there are some business links between the two countries. With our newly refined economic system, we want to maintain good relations with you."
Based on thin but existing business exchanges, mainly in the field of information and technology, she hopes to intensify and diversify categories of exchange to the cosmetics, medicine and telecommunication industries.
To this, her visit included various business meetings, including a meeting with leaders of the Korea Chamber of Commerce and Industry and the Korea Trade-Investment Promotion Agency and a conference with Korean businessmen organized by the French Chamber of Commerce in Korea, a hint to the French connection to Andorra.
She also noted the low-population country has a stable and inexpensive labor market, good security and a free public education system that would benefit investors.
The stronghold for Andorra is actually tourism, coupled with shopping. The tourism industry accounts for nearly 65 percent of Andorra's gross domestic product (GDP), she said.
She pointed out that most visitors are short-time - staying less than one day. But affordable and diverse commerce have opened visitors' wallets, making an enormous contribution to revenue.
Of the 11 million visitors a year, only 2,5 million stay more than one day, the minister said.
For those who stay longer, the Pyrenees, a long mountain range that separates the Iberian Peninsula from the European mainland, provides visitors with pleasant pastimes, such as mountain climbing, hiking and skiing. In fact, Andorra has the biggest ski resort in the Pyrenees, she said.
Its old culture mingled with French and Spanish influences also appeals to visitors, but she hopes the countries own distinctive culture will grab many new visitors including Koreans.
She commented on some Korean influences in her country, which visitors would notice.
She mentioned that Mr. Moon, one of two officially counted Korean residents in Andorra, came to Andorra 30 years ago, opening a Taekwondo school.
"He speaks a lot about Korea. He has helped Andorrans know part of Korean culture," she said.
Korean automobiles are also present in Andorra, being the first four-wheeled vehicle in Andorra, she said.
In reverse, she discovered the prevailing presence of European culture in Korea, which she will tell people about when she returns home to bridge people of the two countries.
"I saw a lot of French words in signs and shops," she said.
Andorra is situated on the border of Spain and France. The area of land is about 468 square kilometers, four-fifths of Seoul.
French President Nicolas Sarkozy and the Bishop of Urgell, Joan Enric Vives Sicilla of Spain, are two princes of the country under the system called co-principality, and France and Spain share defense responsibilities.
But it doesn't mean the country is under direct governance of the two countries.
It has an autonomous political system with its own prime minister as head of state, executive, legislative and judicial bodies. In 1993, Andorra became a member of the United Nations and the Council of Europe.
skim@koreatimes.co.kr
Did You Know?
1. Andorrans have the longest life expectancy (83.5 years), exceeding the Japanese (82 years) in 2007. Why? The minister answered mountains. The Pyrenees, which are 800 to 3,000 meters high, provide fresh air and chances to exercise, she said.
2. Andorra’s official language is Catalan, not Spanish or French, which are also spoken and taught. Catalan is also spoken in Catalonia, an autonomous community in Spain.
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