Credited from: INDIATIMES
France’s opposition to the European Union’s trade deal with Mercosur has intensified as President Emmanuel Macron has insisted that the proposed agreement "doesn't add up" for French agriculture. He has conveyed this stance to key EU leaders, arguing that the deal lacks sufficient protections for domestic farmers. With fears of increased cheap agricultural imports from South America, France is pushing for a delay in the vote on the agreement, which has been under negotiation for almost 25 years, according to Source 2 and Source 3.
Farmer protests in Europe, particularly in France, are a significant factor influencing this call for postponement. Farmers express concerns about cheaper products entering European markets from Mercosur countries, which have less stringent agricultural and environmental regulations. The crisis is compounded by recent outbreaks of livestock diseases in France, impacting local agricultural interests and escalating dissent among farmers, as reported by Source 3 and Source 4.
The EU-Mercosur deal, which is positioned as a major trade expansion opportunity, faces heightened scrutiny from France, the EU's largest agricultural producer. French officials argue for more robust safeguard measures within the agreement, including mechanisms preventing imports deemed to be underpriced compared to EU standards, and “mirror clauses” to ensure environmental standards are upheld. French Prime Minister Sébastien Lecornu emphasized that without these protections, France considers the deal "unacceptable," highlighting the divide within the EU on such trade agreements, according to Source 1.
Opposition to the trade agreement is not limited to France; several other EU member states, including Ireland, Austria, and Poland, have echoed concerns about the potential negative impacts on local farming industries. The situation is politically sensitive, as criticism mounts against the EU leadership for potentially compromising agricultural standards in favor of geopolitical trade relations. As the bloc faces an internal rift, the ability to navigate this deal may serve as a litmus test for its collective unity and credibility, according to Source 4.
The timeline for signing the deal has been complicated by these challenges, with Commission President Ursula von der Leyen pushing for a conclusion by the end of the year. The proposed trade deal is critical for the EU's goal of establishing stronger ties with South America, further complicated by external pressures including tariffs imposed by the United States. However, French opposition could lead to a delay in ratification, potentially stretching the review period to 2026 or later, according to Source 2 and Source 3.