In June 2019, the EU and Mercosur agreed on a free trade agreement, a pioneering agreement that concludes two decades of talks and commits to opening markets in the face of a growing tide of protectionism. “Agreements like this only increase the level of violence against indigenous peoples,” said Dinaman Tuxá, an indigenous leader. We must tell the EU that the signing of this free trade agreement could lead to genocide in Brazil. If they sign this agreement, blood will flow.  France must make requests for ratification, which would decisively imply compliance with the objectives of the Paris Agreement in the fight against climate change. There were different positions. Some points require further discussions, which we hope to be able to clarify, he added, but without the opening of the entire trade package, a lasting solution could be found. The combined population of the two regions means that the agreement would represent a population of 780 million.  This is the largest free trade agreement concluded by Mercosur since the bloc`s creation in 1991.  It is also the LARGEST EU trade deal to date on tariff reduction.
 It is possible to find a “lasting solution”, he said, inviting his EU partners not to divide on the burning issue. The new EU Trade Commissioner, Valdis Dombrovskis, also said it was “clear that we need to take these issues seriously”. On the EU`s trade agreement with Mercosur With more than 260 million consumers and an annual GDP of €2.2 trillion, Mercosur is the fifth largest economy outside the EU. If the process is successful, the trade agreement will be the largest the EU has concluded for the affected population (780 million people) and one of the largest in terms of the volume of trade covered (€40-45 billion in imports and exports). The agreement aims to promote the exports of European companies in the automotive, chemical, pharmaceutical and clothing sectors and to offer them better access to public procurement markets in the Mercosur countries. In return, companies established in Mercosur, particularly in the agri-food industry, would benefit from greater outlets on the European market for their production, including beef, poultry, sugar/ethanol, etc. But the deal has since come under review following allegations that the Brazilian government was not doing enough to stop deforestation in the Amazon, protect the environment and prevent climate change, an idea rejected by the Brazilian government. The agreement came after twenty years of negotiations. Talks began in 1999, but stagnated before regaining momentum in 2016.  The talks had failed for years due to opposition from European beef producers, especially small farmers, who feared being underestimated by imports from Brazil, the world`s largest beef producer.  Many South American governments at that time preferred “South-South cooperation” to building relations with Europe, while European governments also had other priorities.  EU plans to advance the ratification of the trade agreement with Mercosur have been derailed.
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