A great opportunity to gain new markets in the face of killing European agriculture – such evidence appears in connection with the free trade agreement between the European Union and the countries of the free trade area in South America. The agreement was negotiated by the European Commission and the countries known as Mercosur. The negotiations lasted for a quarter of a century. Ursula von der Leyen wants to declare success at the start of her next term as president of the European Commission, but it may not be easy – many EU countries do not want such a deal. They fear that the market will be flooded with cheaper agricultural products.
When Europe celebrated the opening of the Notre Dame Cathedral in Paris, the President of the European Commission visited Montevideo, the capital of Uruguay, where he concluded a trade agreement with the leaders of the Mercosur group of countries, causing many emotions in Europe.
Ursula von der Leyen: this agreement is a victory for Europe
– Allow me to address my compatriots – Europeans. This treaty is a victory for Europe. Today, 60,000 companies export their goods to Mercosur countries, 30,000 of which are small and medium enterprises. They will benefit from reduced customs duties, simpler procedures and access to basic raw materials. This creates great business opportunities, said European Commission President Ursula von der Leyen.
Mercosur is an economic organization that unites several South American countries. According to the agreement, they could freely transport agricultural products to Europe. Industrial production, for example, cars could flow freely in other direction. According to Ursula von der Leyen, the EU's agreement with Mercosur will create a market of 700 million people and “the largest trade and investment partnership in the world”.
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The European Commission has already declared success, but the text of the agreement must be adopted by the EU member states. Agricultural countries are opposed – France and Poland have recently joined Italy in demanding stronger protection for farmers. Macron, Meloni and Tusk can form a so-called blocking minority with several small countries.
– It was the European Commission that declared success, but if the member states, including Poland, do not like it, such an agreement cannot come into force. Our goal is to ensure the competitiveness of Polish and European agriculture and the safety of our farmers and consumers – explains Adam Szlapka, Minister of the European Union.
Germany for, Italy, Poland, France against
The agreement with Mercosur is supported by countries that focus on industry, including Germany, which could sell more cars in South America and partially offset the potential damage caused by the imposition of tariffs by the administration of Donald Trump.
“The agreement with Mercosur means food for the machines,” say farmers who have been protesting across Europe for weeks against the agreement with South America. They argue that foreign food producers can produce it more cheaply because they benefit from less stringent regulations on environmental protection and product quality.
Farmers' protest 3.12| Farmers began protesting across the country, demanding that the government suspend the Mercosur agreement and suspend the green deal and work on a so-called new version. Fridays for animals. TVN24
The European Commission claims that the agreement with Mercosur includes safeguards to protect the interests of EU farmers and that the deal is a “win-win” situation where everyone wins.
– There is no magic solution. Neither officials nor governments sign prosperity contracts. This is only one possibility and it depends on each of our countries how soon this agreement will come into force, said the President of Uruguay Luis Lacalle Pou.
– In an increasingly conflicting world, we show that democracies can rely on each other. This agreement is not only an economic opportunity. This is a political necessity, said Ursula von der Leyen.
Now Ursula von der Leyen is convincing individual EU countries to reach an agreement. In order for it to come into effect, it must be supported by at least 15 countries, which make up at least 65 percent of the population of the European Union. Then the consent of the European Parliament is needed.
As the “Frankfurter Allgemeine Zeitung” news agency reports, the European Commission “expects that Polish Prime Minister Donald Tusk will change his attitude and agree to the agreement after the Polish presidential elections in May 2025.”
Warsaw denies these reports.
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Main photo source: Reuters