MercoPress. South Atlantic News Agency

Elusive EU-Mercosur agreement

The European Union and Mercosur meeting in Brussels did not exchange this Wednesday, --as was scheduled--, their long delayed new trade proposals which should lead to the conclusion of a free trade and association agreement before the end of 2004.

"It won't be today", said Arancha González spokesperson for the European Trade Commissar Paul Lamy who declined to advance a new timetable.

However diplomatic sources from Mercosur believe the exchange of trade proposals could take place during the coming weekend.

On Tuesday Ambassador Gustavo Vanerio head of Uruguay's Integration and Mercosur Desk in the Foreign Affairs Ministry had anticipated "discussions will have to continue before the formal exchange is materialized".

The Brussels negotiations are the last leg of the EU-Mercosur trade association round that has been delayed on several occasions.

The EU informally presented a few days ago a timetable for the liberalization of agricultural trade between both sides, (Mercosur's main aspiration), but warned that it won't make it official until Mercosur improves its offer regarding government procurement, services and investments, plus a greater list of products.

EU and Mercosur are expecting to formalize the exchange of proposals before the coming EU-Latinamerica summit scheduled in Mexico May 28 and 29.

This should give Ministers and European Trade Commissars sufficient time to decide if they can effectively conclude negotiations and be ready to sign the agreement by next October.