• Categories
  • Archives

EU Worries About Brazil Agricultural Competitiveness Before Signing Trade Agreement

Brazilian agriculture Brazil’s agricultural competitiveness is a concern to countries and trade blocs negotiating agreements with Brazil, said ambassador Paulo Estivallet de Mesquita, head of the Economics Department of the Ministry of Foreign Relations (MRE).

He spoke at the 33rd National Conference on Foreign Trade (Enaex), which was organized by the Brazilian Foreign Trade Association (AEB) in Rio de Janeiro.

Mesquita said that this is also the atmosphere surrounding a trade agreement that Brazil and Mercosur are negotiating with the European Union.

“This is one of the big questions as to whether this agreement will actually work out at all. Every time we are working on similar agreements they our prospective partners have concerns about our agriculture.”

On the other hand, Brazil and other Mercosur countries hesitate about opening their economies for manufactured goods from abroad. “They [potential partners] are reluctant to open their markets for our agriculture, and we also have our own concerns about jeopardizing our industry. We shouldn’t subject it to such sudden competition. This is the main drawback to reaching an agreement.”

Waiting on EU

But that does not mean that an EU deal is unfeasible, according to him. “Of course if we manage to close the deal, we’ll face quite a challenge because as a strong partner, the EU is a big competitor for our industry.” However, he went on, this would pave the way for Brazil and Mercosur to seek further agreements with other partners.

In a domestic perspective, there are also important points to consider regarding negotiations with major partners. One of them is about taxation. “The fact that our rates are high relative to other countries may pose a challenge to some businesses when they do set their feet here.”

Mesquita pointed out that a Mercosur resolution requires that all negotiations outside the bloc area be made collectively. According to the ambassador, the same concerns that Brazil has about a separate negotiation apply to the Mercosur as a whole.

“Even if we negotiate without Mercosur, the same issues remain – concerns around our agriculture and our own concerns for our industry.”

And if Brazil closes a trade agreement with a partner that accounts for 25% or 30% of our foreign trade as is the case with the EU, Mesquita believes “it will make sense” to pursue similar agreements with all other partners, including China and the US.

ABr

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Brazil’s Playgirls

Brazil has no women’s movement to speak of and is not a politically correct ...

Brazil’s Trade with Arabs Up 50%, One Year After Lula’s Trip

December 3 was the first anniversary of President Luiz Inácio Lula da Silva’s arrival ...

May 1993

CONTENTS: Cover: Yanomami Indians losing battle (p. 7) Short stories: Excerpts from Carlos Queiroz ...

200 Indians Invade Brazilian Multinational CVRD and Demand Better Compensation

Indians demanding greater compensation from mining operations in the Amazon region have invaded a ...

Brazilian photographer Sebastião Salgado

Brazilian Salgado Aboard Antarctica Ship

In a United Nations-backed project, a two-masted ship will set sail this month from ...

China Impressed with Brazilian Beef, Says Vice President

China has approved Brazilian sanitary conditions for meat production, as well as soy planting ...

Brazil Tries to Save Mercosur Offering “New Deal” to Junior Members

Brazil proposed in Montevideo a "new deal" for Mercosur and requested a "credit of ...

Brazil Produces 36.6 Million Tons of Cement, a 6.3% Growth

The Industrial, Commercial and Mining Enterprise Society (Soeicom), owner of cement brand Cimentos Liz, ...

Smoking: Brazil’s Gift to the World

Tobacco smoking was the great indigenous legacy to civilization. Not every cultivated person dares ...

Brazilian Minister in London Seeks Explanation for Death of Brazilian

Brazil’s Minister of Foreign Relations, Celso Amorim, will have a meeting today with England’s ...