free trade zone it is a regional economic bloc formed by several countries, with the purpose of reducing or eliminate customs duties among member countries. The objective of the free trade area is to stimulate trade between participating countries.
Free trade zones were created after World War II, when, in addition to forming large economic blocs, several countries joined together to form geopolitical and economic organizations, constituting regional economic blocs of various types, including free trade zones with the objective of reducing or eliminating taxes customs.
In addition to free trade zones, customs unions were created (opening of internal markets between countries members or with external nations) or common markets (free movement of people, goods, services and capitals).
Among the free trade blocs is the Mercosur (Common Market of the South), created in 1991, with the objective of setting up a free trade zone, eliminating customs barriers and union customs. Mercosur members are: Brazil, Argentina, Paraguay, Uruguay and Venezuela.
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