MercoPress. South Atlantic News Agency

Encouraging Mercosur-EU talks in Brussels

Mercosur reacted positively to the first details of the European Union opening market offer presented this week in Brussels in the framework of ongoing bilateral talks to reach a cooperation and free trade agreement by next October.

"The first indications are most positive", said Ambassador Gustavo Vaneiro Director of the Integration and Mercosur Desk of the Uruguayan Foreign Affairs Ministry and a member of the Mercosur delegation in Belgium.

Brazilian Ambassador in Brussels Jose Alfredo Graca also reacted favourably to the EU "improved" list of products which includes total and gradual elimination of tariffs, a quotas system, all of which "are an important signal to continue advancing".

"The EU willingness has shown to most ample, the timing is favourable and is evidence that the EU effectively wishes to conclude talks in time for next October. Now it's up to Mercosur to define priorities and a counter offer which improves the EU presentation", added Ambassador Graca.

European Trade Representative Spokesperson Arancha González said that the EU now expects that the exchange of improved products lists can take place before the ministerial summit scheduled in Mexico, May 28 and 29.

According to EU sources, Brazilian farmers are pressing the Brazilian government to accept the European offers regarding services and government procurement, which could open the way for "quick progress" in negotiations.

The Brazilian government has been fearful, so far, of accepting opening those two sectors to outside competition.

A booming Brazilian agriculture export sector, confident of its capacity and competitiveness, is anxious to have greater access to the European Union market. However Brazilian industrialists are not so enthusiastic.