EU-Mercosur agreement inflames tempers. Red card for farmers and climate activists, strong concerns even in EU Parliament

Brussels – The “historic milestone” put by European Commission President von der Leyen with the signing of the free trade agreement between European Union and Mercosur countries opens a tough debate that will last a few months at least. Despite the guarantees to European farmers and businesses on the protection of EU products and production standards, the tense climate hovering around this agreement shows no sign of calming down.

Red card from the European Parliament, except for the EPP (and a cautious S&D)

From the EU Parliament come different voices, but the majority support for von der Leyen 2.0 manifests all its differences with three completely different reactions to the agreement.

The only green light comes from the EPP, which welcomes the end of negotiations between the EU and Mercosur countries.

We welcome the conclusion of negotiations on the #Mercosur Agreement.

We are creating the largest free trade zone in the world, with an additional market of 260 million potential consumers of European goods.

It is a win-win for European and South American countries. pic.twitter.com/sHmGreNGxY

— EPP Group (@EPPGroup) December 6, 2024

Pleased by the creation of the “biggest free trade area in the world, with an additional market of 260 million potential consumers of European goods. This is a win-win situation for European and South American countries.” 

From Europe’s Socialists and Democrats (S&D) comes a timid position on X. Noting the closure of the agreement, the group wants to carry out “a thorough evaluation of the agreement and its implications,” maintaining openness to collective work. “Concerns about environmental protections, workers’ rights, compliance with the Paris Agreement, agri-food standards, and protections for our most exposed economic sectors will be considered with the utmost attention,” says in a note Brando Benifei, S&D coordinator for the International Trade Committee, called upon to examine (and possibly approve) the new text.

Not too far from Macron’s “unacceptable” stands the French S&D delegation. “We have always been and remain firmly opposed to the agreement with Mercosur,” the French say in a note. They continue, “The problems posed by the agreement will by no means be solved […]. The gap between the production standards of the two blocs favours South American agriculture.”

From Renew, comes the perplexed voice of President Valerie Hayer: “What we know about the Mercosur agreement is not acceptable in its current form.” Of concern is the protection of the European economy, which would impact much-needed competitiveness and ignoring reciprocity and climate challenges. “The story doesn’t end here,” Hayer reminds, as the approval of the European Parliament is needed.

“Absolute disgrace from the EU,” is the comment in a note by Manon Aubry, co-chair of La Sinistra group. A devastating blow to small European farmers, public health standards and climate commitments, according to La Sinistra, which will continue to strongly oppose the agreement, supporting climate activists and farmers. “Absolute hypocrisy on the part of the EU to pursue a trade deal with the Mercosur bloc while at the same time lecturing farmers and others in the EU to reduce their carbon footprint,” adds Luke Ming Flanagan, vice chair of the delegation for relations with Mercosur, also criticizing the lack of transparency in the negotiations.

The Greens/Ale group also opposes this. “It is clear that the concerns expressed by European farmers, job creation, and the protection of social rights, health, and forests in Mercosur countries are not priorities for the President of the European Commission,” per Saskia Bricmont of the Greens/Ale, head of the EU-Mercosur dossier in the Committee on International Trade. Bricmont continues, “We will continue to denounce this free trade agreement, which is incompatible with climate goals, the Green Pact and a sustainable trade and development model.”

“Unbalanced and damaging to European agriculture” is the comment on the agreement by Carlo Fidanza, agriculture coordinator of the ECR group. Key steps are missing for Fidanza, such as clear guarantees on veterinary and phytosanitary standards and the still “too meagre” commitments made by the Commission for compensation to European producers in the event of market disruption. On the same line is the Lega, part of the Patriots for Europe group, expressing “strong reservations” related to the lack of solid guarantees. They continue, “The EU has not learned from the tractor protests: once again, agriculture seems to be used as a bargaining chip.”

Climate activists and farmers shake their heads

“It is disgraceful that the leaders of the EU and Mercosur are pursuing this toxic agreement, thunders Greenpeace, in the words of Lis Cunha, European trade activist. “This is a terrible agreement for the global climate that will undermine countries’ efforts to address the climate emergency and just transition,” says Carolina Pasquali, executive director of Greenpeace Brazil, deploring the closed-door negotiations “without social participation or transparency.”

Even Friends of the Earth International criticizes the agreement, “obsolete” according to Julie Zalcman, trade activist, and “destined to fuel the climate and biodiversity crisis.” No less critical are the words of Lucia Ortiz, executive board member of Friends of the Earth Brazil, Latin America and the Caribbean: “While promoting the rights of transnational corporations and financial institutions to profit from the privatization of public services to public procurement, the EU-Mercosur agreement perpetuates colonial asymmetries.”

Strong criticism of transparency from Climate Action Network. The EU-Mercosur agreement is “a frontal attack on democracy,” per Audrey Changoe, Can Europe’s trade and investment policy coordinator. Outrageous that information about the negotiations has not been released, going against Trade Commissioner Sefcovic’s own promises.

(credits: Sameer Al-Doumy / Afp)

No less perplexity comes from the agricultural industry. Protests with tractors were not enough, as recent promises to do what is possible to stop negotiations on the agreement.

“Masks fall off,” for Via Campesina (International Farmers’ Organization), with the vain promises of a hearing from von der Leyen. Firm condemnation of the agreement, “opposed by all farmers’ and farm workers’ organizations because of its social impact and the denial of the need for sustainable food systems that it represents,” Via Campesina declares.

Much anger from Fugea, the United Federation of Livestock and Farmers, which again criticizes Europe’s “schizophrenic inconsistency.” “Incomplete and impossible to control compensation or mirror clauses are smoke and mirrors that no one believes,” per Fugea, which calls for the firm opposition of the Belgian government, joining the blocking minority in the Council.

Protections that are “totally insufficient” for European agricultural production, for Coldiretti and Filiera Italia, which “strongly oppose the agreement,” as they make known in a note. The agricultural sector would be penalized and damaged, so the two Italian associations expect an adequate position of Italy on the matter, given the risks to health, the environment, and the production of the supply chain.

Quite a load of anger for European Commission President von der Leyen to handle. Despite the great perplexity hovering around the agreement and its negotiations, some were satisfied. From BusinessEurope, kudos come for the agreement: “The political conclusion of the EU-Mercosur agreement marks a significant achievement at the start of this new institutional cycle, realizing one of the key trade priorities for both the economy and citizens.”

EU Council President Antonio Costa congratulates the work of the Commission chair: “This is a very important achievement,” writes on X. Costa continued, “Trade is good for Europe. It is good for competitiveness and employment. It’s good for our place in the world. It is good for our citizens.”

Good for the Foreign Affairs Committee as well: “We welcome the conclusion of the negotiations on the EU-Mercosur agreement […] Strategic alignment between the EU and Mercosur has significant geopolitical value, as it can help the two regions strengthen their collective autonomy and resilience while promoting democracy, sustainability, and multilateralism.”

While gathering some satisfied reactions, the rejection of the agreement is clear. Von der Leyen says she is ready to discuss it with member states but will do so with some more difficulty than expected. She will have to convince many reticent states and, not least, MEPs, while keeping at bay the wrath of the agricultural industry, whose spark is always ready to explode.