By Philip Blenkinsop
BRUSSELS, Jan 7 (Reuters) – The European Commission will on Wednesday seek to dispel the concerns of some EU members over a free trade agreement planned with South American bloc Mercosur and 25 years in the making that could be signed as early as next week.
Proponents of the deal say it would be the EU’s largest in terms of tariff reductions, is vital to boosting exports hit by U.S. import taxes and to reducing reliance on China by securing access to critical minerals.
The executive Commission, backed by countries such as Germany and Spain, needs to garner the majority of 15 EU members representing 65% of the EU population to authorise the bloc to sign the deal. It would still need to win the support of the European Parliament, however.
European commissioners for agriculture, trade and health are expected to give reassurances at a meeting on Wednesday with national agriculture ministers in Brussels on future funding for farmers under the bloc’s Common Agricultural Policy, along with a review of import controls, including permissible maximum levels of pesticide residues.
ITALY AND FRANCE PREVENTED DECEMBER SIGNING
Italy and France, the EU’s largest agricultural producer, last month dashed hopes for a December signing, saying they were not ready to support the pact until farmers’ fears of an influx of cheap commodities from Mercosur, including beef and sugar, were addressed.
On Tuesday, the Commission appeared to have won the support of Italy after proposing to accelerate 45 billion euros ($52.61 billion) of support for farmers.
Poland and Hungary remain opposed to the deal, and France is also still critical of it.
Ireland, a major beef producer and exporter, has, however, suggested it could back the deal. Prime Minister Micheal Martin said on Wednesday that Ireland was working with “like-minded” countries, including Italy and France, and that safeguards against potential surges of imports were essential to winning support.
“There’s further work to be done before the discussions across government on this… We have concerns with Mercosur, but a lot of progress has been made over the last 12 months, that has to be said,” Martin told reporters on a trip to China.
However, French Agriculture Minister Annie Genevard said that, even if EU members backed the accord, France would continue to fight against it in the European Parliament, whose approval will also be required for the agreement to enter force.
“This is not the end of the story… I intend to raise awareness among European Parliament members and others,” she said on France Info radio on Wednesday. “As long as the battle is not over, it is not lost.”
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(Reporting by Philip Blenkinsop; additional reporting by Padraic Halpin in Dublin, Sybille de la Hamaide and Gus Trompiz in Paris; editing by Barbara Lewis)
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