Foreign minister Federica Mogherini pledged that under the current Italian presidency of the European Union, top priority will be given to signing the pending trade agreements, among which that with Mercosur still under discussion.
Argentina’s debt problems threatens to worsen trade tensions in Mercosur, adding to the economic woes of Brazil in a tense election year and causing headaches in Uruguay as the Argentine economy looks likely to plunge deeper into recession.
Mercosur members finally agreed this week on a draft joint proposal to be presented to the European Union with the purpose of negotiating a long delayed trade and cooperation agreement with EU, according to Uruguayan diplomatic sources.
Paraguay strongly objected a draft Mercosur declaration on Gaza which wanted to openly support Palestine and unilaterally condemn Israel's bombings and incursions, according to sources at the group's summit which took place Tuesday in Caracas.
Argentine President Cristina Fernandez will attend this Tuesday the leaders' summit of Mercosur in Caracas, Venezuela. The president will travel to Caracas in order to participate in a congress originally scheduled for December 17, but which suffered several postponements.
The private sectors from Paraguay, Uruguay and Bolivia agreed to form a business lobby, Urupabol, with the purpose of actively combating protectionist policies and other obstacles implemented inside Mercosur, mainly by senior members Argentina and Brazil.
Uruguay's president Jose Mujica will be attending the next Mercosur presidential summit scheduled for Tuesday, 29 July in Caracas, when the creation of an economic forum Mercosur/ALBA/PetroCaribe will for consideration as part of the agenda.
Brazil will propose next Tuesday, in Caracas, during the Mercosur summit that the group and the Pacific Alliance reach an agreement on free trade by the end of the year, according to official sources from Itamaraty.
Mercosur is “not working” and is “stalled” admitted Uruguayan president Jose Mujica and blamed the situation on different visions of the block's functioning, according to an interview with Folha de Sao Paulo.
Former Uruguayan president Julio Maria Sanguinetti and founder of the Montevideo Circle Foundation said Mercosur was not created to become a fortress of hyper protectionism but rather to promote competition and integration with flexibility. Sanguinetti participated in a round of conferences of the Montevideo Circle Foundation in Paraguay.