No offer has been made on beef yet under Mercosur negotiations, John Clarke told the Irish Farmers Journal at the Navigating Global Trade conference on Friday. Despite opportunities he sees for Europe to increase its exports to international markets, he said that there is likely to be losses in beef, sheepmeat, sugar and rice. Top export products include wines, spirits, wheat and infant formula.

“It’s not all bad news for the EU. We have some quite impressive performance,” Clarke said, echoing the Commissioner for Agriculture’s earlier speech.

Increase in trade surplus

In the seven years from 2010 to 2016 Europe increased its trade surplus from €2.6m to €19.7m. Six out of the 10 biggest exporters in the world are in the EU and more than 30m jobs (one in seven) are supported by agriculture in the overall EU economy.

Clarke highlighted population growth in Africa and Asia, dietary preferences and growing middle class as positive developments for Europe.

Watch an interview with Clarke in our video below:

“The public is very sceptical of free trade and liberalisation; there is a big fear that Free Trade Agreements (FTAs) will lead to a lowering of standards,” Clarke said. “I think it will not be the case ... in CETA there was not been one modification on standards.”

EU priorities going forward with Free Trade Agreements:

  • An ambitious agreement with Japan as soon as it’s feasible.
  • High quality FTAs including with Mexico, Turkey and Asian countries.
  • Focus on our comparative advantage, including high standards and GIs.
  • Prudent treatment of sensitive products like beef, ethanol and poultry. Care needed with Mercosur, Australia and NZ.
  • “Products which have a very high traceability is where we will be competitive, not simply on price,” said Clarke, adding that CAP supports are in the WTO ‘green box’ and don’t impact upon trade. “We are efficient enough to negotiate FTA’s in almost all sectors now.”

    Beyond FTAs other key focuses in terms of international relations for the EU’s agri-food sector include:

  • Tackle SPS and other non-tariff barriers that frustrate exporters.
  • Implementation of existing agreements.
  • Promotion and economic diplomacy.
  • Markets access will take place in FTAs, but stronger rules can be pursued in the WTO.
  • All supported by strong and modern CAP to help farmers remain competitive.
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    Full coverage: Navigating global trade conference