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Common interests will strengthen the agreement between the Mercosur and EU

Posted by Marina

After almost a year since the trade agreement between Mercosur and the European Union, the website Notícias Agrícola interviewed José Manuel Fernandes, deputy of Portugal in the European Parliament and Antônio da Luz, chief economist of Farsul, to discuss the difficulties and perspectives of the two blocks in the face of the difficulties caused by the Covid-19 pandemic, the new coronavirus.

For Antônio da Luz, the heterogeneity of the Mercosur bloc is more complex compared to the differences in European countries. Critical to the bloc, Farsul's chief economist sees that Brazil is trapped in the South American bloc. "The rapprochement with the European Union comes to save Mercosur, but we need to be aware that trade is a two-way street. When making an agreement between trade blocs, we have to be aware that we will have free trade zones" , said.

One of the bottlenecks to be resolved between the two blocs is the environmental requirements in Europe that end up creating a negative view regarding agriculture. "Agriculture is proving to be increasingly essential, but the role of the producer is not always valued. The average income of the producer in the European Union is about 40% in relation to other professions, which makes this sector unattractive", explained the European parliamentary "Looking at the farmer as an enemy of the environment is very wrong, this does not mean that we do not have to emphasize the sector's sustainability, especially with digital advances", he added.

Despite the adversities, both Antônio da Luz and José Manuel Fernadez agree that the common values ​​of the European and South American peoples will strengthen the economic ties between the two blocs. "We have similar values, cultures and similar way of life, these affinities will help us to find a space for the common good", said Fernandez. "We have a lot to learn from the cooperation between the blocs, we cannot adopt protectionist measures, on the contrary, we must buy where it is cheaper. Agribusiness has only reached the current level of importance thanks to the free market", warned Antônio da Luz.

Source: Notícias Agrícolas