Vilnius (Brussels Morning Newspaper) – Lithuania’s Agriculture Minister opposes the EU-Mercosur trade deal, citing concerns over unfair competition for farmers and awaiting further explanation.
In an interview with the LRT TV program, he said,
“The Seimas Committee on Rural Affairs has adopted this decision, and the ministry supports it as well. The European Commission has promised a detailed explanation of the agreement, which we’d like to wait for, but for now, this is our stance,”
At the start of December, Lithuania’s parliamentary committee asked the government to resist the agreement in the Europen Union Council and join other member nations in stopping it, noting concerns from Lithuanian farmers regarding unfair competition.
How does the EU-Mercosur deal impact European farmers?
The first free trade agreement is between the -an excellent leap forward in the world of international trade. After over two decades of haggling, the deal was finally worked out on 6 December 2024. The bloc includes Argentina, Brazil, Paraguay, Uruguay, and Bolivia, and Venezuela is also a member, though it has been suspended from participating.
The deal calls for the abolition of 93% of tariffs on goods exported to the EU from the Mercosur block and 91% on goods exported to Mercosur states from the EU. This will improve market access for agricultural goods from Mercosur, including beef, poultry, sugar, and ethanol. About 60,000 EU companies are expected to benefit from reduced tariffs and stream-lined customs clearance procedures. The deal is designed to attract foreign investment and improve access to essential inputs and machinery for Mercosur countries.
What objections have France and other nations raised?
Many of the European nations have voiced extreme opposition towards this EU-Mercosur agreement, mainly the French. As a leader against the agreement, France cites fear of South America’s cheap products flooding their fields of farming in the form of agricultural produce and other similar issues.
Poland, Austria, and Ireland also show similar sentiments; they express apprehension regarding uneven competition and deteriorating environmental concerns. Additionally, Italy has also made its support conditional on guarantees for its farmers, and the Netherlands and Belgium, especially the Walloon region, have expressed very strong objections.