MercoPress. South Atlantic News Agency

EU joins the dispute and supports Botnia pulp mill in Uruguay

Orion - Botnia pulp mill in Uruguay

The European Union Economic and Monetary Affairs Commissioner Joaquin Almunia said on Sunday that the Botnia pulp mill in Uruguay which recently begun production and is at the heart of an acrimonious dispute with Argentina complies “reasonably” with environmental requisites.

Almunia made the statement in Montevideo where he participated of a Mercosur meeting of Finance ministers and central bank presidents, in preparation for the full fledged political meeting of the group's leaders which begins Monday in Uruguay. During a press conference following one of Sunday's meetings Almunia talked about the Finnish pulp mill built along the border river Uruguay and which neighboring Argentina objects on legal and environmental grounds. The King of Spain was also involved in the conflict as a "dialogue facilitator". "What I wish is a quick solution as soon as possible. I know the issue is in an international court, and I hope it can be solved in the best way posible", said Almunia. However the EU representative did point out that "respect for the environmental conditions of an investment of this kina is necessary. We believe that this investment effectively reasonably complies qith the environmental requisites", he added, although he didn't support his words with further details. Nevertheless Almunia's statement as an EU representative involving an EU country member Finland, are a strong message of support just a few hours before the Mercosur presidential summit in Montevideo, which will be Argentine president Cristina Fernandez de Kirchner's first. A possible private meeting between the Argentine leader and the Uruguayan host president Tabare Vazquez does not figure in the agenda but could eventually take place. Argentina and Uruguay are waiting for the ruling from the International Court of The Hague where the previous Kirchner administration took the case accusing Uruguay of ignoring a bilateral agreement for the joint management of the border river Uruguay. Montevideo on the other hand argues that the pulp mill has been built following state of the art technology, following EU standards and that back in 2004 Argentina was informed of Uruguay's plans to build two pulp mills along the river Uruguay.