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Intense discussions are continuing between the EU and the Mercosur bloc in an attempt to break the stalemate on a trade deal.
EU access for South American beef remains a stumbling block. The EU has formally offered 70,000t of beef over the current import level and is prepared to go as far as 99,000t. However, the South American bloc is demanding more.
European Commissioner for Trade Cecilia Malmström has written to Minister for Agriculture Michael Creed that it was “not realistic to expect Mercosur to agree to conclude a negotiation” without including meat. She promised to “find the right balance between the need to shield sensitive sectors from full liberalisation and the many opportunities” of a trade deal, which the IFA has described as “admitting that EU agriculture, animal welfare and environmental standards are being sold out for other interests”.
Watch an interview with European Parliament Vice-President Mairead McGuinness on Mercosur and other current EU farming issues in our video below:
Brussels sources said this week that beef was not the only bone of contention, with Mercosur countries defensive about granting access for EU cars and insisting that manufacturers build cars in South America rather than ship ones made in the EU.
If a trade agreement was signed, French president Emmanuel Macron has said that it would include a “safeguard clause” to stop South American beef imports in the event of a market crisis.
Red line
“Whatever the quotas negotiated, there will be a safeguard clause – this is a French red line,” he said.
“If the market is destabilised and prices are undermined, we can suspend the agreement.”
President Macron also said that any Mercosur trade deal would not enter into force until 2024 and the EU would strengthen border controls to enforce equivalent food safety, social and environmental standards on imports in the intervening time.
EU Commissioner pledges to find 'right balance' on Mercosur beef
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