France moves to block EU-Mercosur deal as farmers continue protest
As the country is rocked by farmer protests, France vowed Wednesday to prevent a trade deal between the European Union and the South American Mercosur bloc which would slash tariffs and open up the EU to goods not up to local standards.
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The trade deal, which includes agricultural powers Argentina and Brazil, is among a litany of complaints by farmers in France and elsewhere in Europe who have been blocking roads to demand better conditions for their sector.
They fear it would further depress their produce prices amid increased competition from exporting nations that are not bound by strict and costly EU environmental laws.
"This Mercosur deal, as it stands, is not good for our farmers. It cannot be signed as is," Economy Minister Bruno Le Maire told broadcasters CNews and Europe 1.
Mercosur, (Mercado Común del Sur)or Mercosul (Mercado Comum do Sul in Portugese) is the "Common Southern Market" that was established by the Treaty of Asunción in 1991 and Protocol of Ouro Preto in 1994. Founding members are Argentina, Brazil, Paraguay and Uruguay. Venezuela joined but its membership was were suspended in 2016. Associate members are Bolivia, Chile, Colombia, Ecuador, Guyana, Peru and Suriname.
Mercosur's official working languages are Spanish, Portuguese and the indigenous Guarani language. According to its website, the objective of Mercosur is "to promote a common space that generates business and investment opportunities through the competitive integration of national economies into the international market."
The bloc repeatedly tried to strengthen ties with the EU Common Market, but also with Russia and its allies. In 2023, EU officials did not ratify a proposed agreement fearing increased destruction of rainforest habitat in the Amazon region. China and Russia's Eurasian Economic Union have also expressed interest in possible closer cooperation with the Mercosur bloc, but no concrete agreements have been signed as yet.
The European Commission acknowledged this week that the conditions to conclude the deal with Mercosur, which also includes Paraguay and Uruguay, "are not quite there yet".
The talks, however, are continuing, the commission said.
President Emmanuel Macron said Tuesday that France opposes the deal because it lacks having "Mercosur farmers and companies abide by the same rules as ours".
And now it’s reported that 🇫🇷 due to the interests of its farmers have blocked the strategically important trade deal between 🇪🇺 and the Mercosur countries. That would be a distinct strategic setback. https://t.co/63cd6Gx5Jp
— Carl Bildt (@carlbildt) January 30, 2024
On this subject, the EU and the South American nations have been negotiating since 2000.
The contours of a deal were agreed in 2019, but a final version still needs to be ratified.
It aims to cut import tariffs on mostly European industrial and pharmaceutical goods and agricultural products.
The coalition Stop EU-Mercosur, consisting of 450 civil societies joining to put a halt to the prospective deal, says on their website that the agreement belongs to an "outdated, 20th century model of trade that has failed the planet".
"It serves corporate interests, at the expense of planetary boundaries and animal welfare and drives untenable social inequalites," the organisation states.
The website claims that over 1.3 million opponents of the deal have signed a petition to block it.
(With newswires)
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