MercoPress, en Español

Montevideo, December 2nd 2022 - 17:28 UTC

 

 

EU says Argentina’s import restrictions hurt talks for trade deal with Mercosur

Thursday, March 31st 2011 - 01:33 UTC
Full article 5 comments
Gustavo Martin Prada, head of EC in Argentina admits “difficult talks”. Gustavo Martin Prada, head of EC in Argentina admits “difficult talks”.

Argentina's moves to restrict imports and prop up its shrinking trade surplus as well as European farmers resistance to ‘cheap’ meat imports could hurt talks for a trade deal between Mercosur and the European Union, an EU official said on Wednesday.

”Creating new trade barriers are not good for negotiations” said Gustavo Martin Prada, head of Delegation, European Commission in Argentina.

Speaking with reporters in Buenos Aires Prada said the European Union hopes to sign a deal with Mercosur later this year but admits that (‘difficult’) negotiations could extend the timetable to 2012.

In May 2010, the two sides resumed talks that had been frozen for six years with the aim of creating the world's largest free-trade zone with 750 million people and traded goods valued at 65 billion Euros a year.

The last round of talks was held early March in Brussels and the next is scheduled in Asuncion, Paraguay in May.

Mercosur resistances to strict rules on intellectual property and strong opposition from European farmers fearful that cheaper food imports from their South American competitors will swamp their markets are seen as the main obstacles to a deal, pointed out the EU delegate.

Martin Prada said that even when Argentina’s import limits have not significantly hurt trade between the blocs, they could further complicate “already difficult talks.”

This month, Argentina expanded the number of foreign goods subject to import permits (non automatic licences with a 60-day deadline) by 50%, (400 to 600) angering the country's Mercosur partners Brazil, Uruguay and Paraguay, although bilateral monitoring conditions were later established to help with the normal flow of trade.

The Argentine trade surplus has been narrowing as imports surge due to strong domestic demand and the Peso currency's appreciation in real terms, although February trade data was stronger than expected.

Argentina is supposed to approve the import permits promptly but some importers complain the process can take up to 300 days, amounting to a de facto trade barrier.
 

Top Comments

Disclaimer & comment rules
  • Forgetit87

    Pot calling the kettle black.

    Mar 31st, 2011 - 09:36 am 0
  • GeoffWard

    “In May 2010, the two sides resumed talks . . . with the aim of creating the world's largest free-trade zone with 750 million people and traded goods valued at 65 billion Euros a year.”
    The blockage:
    (i) Mercosur resistances to strict rules on intellectual property and
    (ii) strong opposition from European farmers on meat imports.

    Wow, 65 BILLION Euros EACH YEAR!
    I would think every nation involved would want a BIG slice of that pie!

    But, No, apparently.

    An unwillingness to respect intellectual property and some reduction in home profitability in livestock markets

    . . . . . ARE THEY ALL MAD!

    Mar 31st, 2011 - 09:09 pm 0
  • Pirat-Hunter

    I don't think we should be selling any food to europids who use our resources to stage war and occupy other nations to theft their resources, some day it will be Latin America if the problems in Latin America aren't already do to europids theft of our wealth through corruption, I think EU should be blockaded and nations like India, Pakistan and China should be given the resources to build the kind of world we can all live in pease.
    http://www.gregpalast.com/the-globalizer-who-came-in-from-the-cold/

    Apr 05th, 2011 - 03:47 pm 0
Read all comments

Commenting for this story is now closed.
If you have a Facebook account, become a fan and comment on our Facebook Page!