MercoPress. South Atlantic News Agency

EU-Mercosur round in Brussels.

The European Union and Mercosur delegates will attempt this week in Brussels to cut differences and advance in a free trade agreement that has been elusive since 1999. The agreed timetable for reaching an understanding is next October.

Talks will be presided by Brazilian International Negotiations Director Regis Arsianian, --because Brazil currently holds Mercosur chair--, and the European Commission Director of Trade Negotiations Karl Falkenberg.

Mercosur is demanding better conditions for trade in agriculture and greater access to EU markets, particularly an increase in the beef quota which the EC has established in 50,000 tons plus another 50,000 tons conditioned to successful talks in the framework of the World Trade Organization.

EU has also proposed eliminating in a ten year period import tariffs on 92% products, and Mercosur' counter offer covers 87% of products in a similar time period.

A week ago Brazilian Foreign Affairs Minister Celso Amorim informed Trade Commissar Pascal Lamy that Mercosur was willing to augment access in the telecommunications and maritime transport sectors, as requested by the EU.

Arancha Gonzalez, spokesperson for Mr. Lamy described the EU agriculture proposal to Mercosur as the "best ever extended" by the block, but also reiterated its willingness to reach a "balanced" agreement, the "most ambitious possible".

The EU-Mercosur overall agreement also includes cooperation and political dialogue, two issues on which both blocks have virtually concluded negotiations.