“I consider it positive that we have a new geopolitical force (…) There’s no need for fear, it’s a challenge. But it will give us a new block with global strength,” said José Manuel Fernandes to journalists.
Speaking in Montemor-o-Velho, in the district of Coimbra, on the sidelines of the colloquium “Agriculture in the Lower Mondego: Cooperativism and Future,” which he chaired the closing of, Fernandes noted the “additional importance” of Portugal’s relationship with Brazil.
“With 212 million people, sometimes we don’t realize it’s half the population of the European Union, twice the area, the fifth largest country in the world, the tenth world economy, we speak the same language,” he remarked.
He stressed that Portugal is interested in exporting olive oil, wine, and cheese, and the potential removal of current tariffs is significant.
When asked if the other EU member states are as optimistic about the agreement with Mercosur as Portugal is, Fernandes acknowledged that the position is not unanimous.
“I think some member states do not share the same view because they haven’t advocated for the benefits and have been caught up in arguments that don’t reflect reality and are now difficult to dismantle,” he observed.
The European Commission today promised to protect farmers from disruptions caused by the agreement with Mercosur, anticipating a 39% increase in exports to those Latin American countries annually, amounting to an additional 49 billion euros.
According to the information released today by the European executive on the proposals it will present to the Council of the European Union for discussion and further development, the agreement with Mercosur countries is expected to boost EU annual exports by 39%, totaling an additional 49 billion euros.
The agreement, which will create “the largest free trade zone in the world,” aims to reduce “often prohibitive customs duties on EU exports,” including essential industrial products like automobiles (currently 35%), machinery (between 14% and 20%), and pharmaceuticals (up to 14%).
The European Commission forecasts that agri-food exports will “grow by at least 50%” with tariff reductions, particularly for wine and spirits, chocolate, and olive oil, while preventing imitation and “unfair competition” of 344 products with protected geographical indications.
The Mercosur countries are Brazil, Argentina, Paraguay, Bolivia, and Uruguay.
A European source added that the goal is to conclude the process by the end of the year, taking advantage of Brazil’s presidency of Mercosur, although the process still requires review by the European Parliament and the 27 Member States.
