Italy's firm stance: EU‑Mercosur trade deal faces hurdles
Italian Prime Minister Giorgia Meloni announced that Rome will not support the EU-Mercosur agreement without strong safeguards for EU farmers. The Italian government emphasises the strategic importance of relationships with the South American bloc but demands protection for the agricultural sector.
On Friday, Ursula von der Leyen, the President of the European Commission, announced the end of negotiations between the EU and the Mercosur bloc, which includes Argentina, Brazil, Paraguay, Uruguay, and Bolivia. The agreement concerns free trade, against which governments and farmers from countries, including Poland and France, are protesting.
Italy's Prime Minister Giorgia Meloni, before the announcement by the EU Commission President, stated that Rome would not support the free trade agreement with Mercosur countries unless strong safeguards for EU farmers are introduced.
Italy joined the group of countries, including France and Poland, that opposed the agreement in its current form.
The agreement must be ratified by the European Union for it to come into effect. There are two possible paths: either the agreement will require ratification by all national parliaments, or it will need to be approved by the European Parliament and member countries in the EU Council.
In the second scenario, the states would decide by a qualified majority, which means agreement from 15 of the 27 countries representing at least 65% of the EU population.
Details of the EU-Mercosur agreement
The agreement, as the European Commission argues, addresses the concerns of European farmers. The Commission states that the agreement imposes limits on the import of beef, poultry, and sugar and also allows for the suspension of imports in case of market disruptions.
The protective restrictions anticipate that the EU will receive annually about 99,000 tonnes of beef from Mercosur countries, which is 1.6% of the total consumption in the Union. That's not all. Additionally, tariffs on beef will be reduced to 7.5%, but not eliminated. Restrictions also apply to poultry and sugar.
The agreement also includes a mechanism for suspending agricultural product imports in case of disruptions in the European market. Exemptions from tariffs and quotas on agricultural products from Mercosur countries will be gradually implemented over seven years.
