Ahead of the South American Economic Alliance Mercosur summit, Argentina has called for an update to its planned free trade agreement with the European Union. “The agreement provides opportunities to boost production, create jobs and attract investment,” said Santiago Caveiro, Argentine chief diplomat, today at the Mercosur foreign ministers’ meeting in Puerto Iguazu.
“In order to reach the agreement and achieve good results for both sides, the texts must be amended.” In the current version, the EU is in a much better position than Mercosur when it comes to tariff exemptions and export quotas.
Cafiero also criticized the additional declaration on climate, the environment and human rights demanded by Brussels. “The text unilaterally focuses on protecting the environment without considering economic and social development,” he said.
The agreement has been pending since 2019
The EU-Mercosur FTA has been suspended since negotiations concluded in 2019. Mercosur includes Brazil, Argentina, Uruguay and Paraguay. The treaty would create the largest free trade area in the world with a population of 780 million. Above all, it must lower tariffs and thus boost trade.
The agreement has yet to be ratified by all member states. However, it is controversial both in South America and in Europe. Some countries want to protect their markets, others fear weakening labor or environmental standards.
“Food practitioner. Bacon guru. Infuriatingly humble zombie enthusiast. Total student.”
More Stories
“Classes for the disabled”: The La Liga Party candidate raises a scandal
Pope Francis visits the Venice Art Biennale
Madrid is on its feet: supporters want Sanchez to stay