The EU: Hopes to sign the Mercosur trade Agreement as soon as possible

The European Union said on Monday (January 5) that it has made progress in approving a trade agreement with Mercosur and hopes to sign the agreement as soon as possible.

AFP reported that diplomats pointed out that the EU's goal is to sign the agreement on January 12. Previously, the EU's hope of signing the agreement in December was dashed as France and Italy requested a delay in the signing.

The chief spokesperson of the European Commission, Pinio, did not confirm a new signing date, but she insisted that the EU is moving in the right direction to reach an agreement in the near future.

She said at a press conference in Brussels: "Over the past two weeks, we have had discussions and made progress."

This agreement, which has lasted for more than 25 years, will create the world's largest free trade area and promote trade between the European Union and Mercosur, which is composed of Brazil, Paraguay, Argentina and Uruguay.

The parties were originally scheduled to reach an agreement at the Mercosur meeting to be held in Brazil on December 20th, but the plan encountered obstacles at the last minute. Italy and France, out of concerns over agriculture, demanded the postponement of the meeting.

At a time when global trade tensions are escalating, this agreement will help the EU export more automobiles, machinery, wine and spirits to Latin America.

In return, the agreement will facilitate the entry of meat, sugar, rice, honey and soybeans from South America into the European market.

This has raised concerns among many farmers in Europe, who are worried that cheap goods from agricultural giant Brazil and its neighboring countries will impact their markets.

Rome and Paris have called for strengthening safeguard clauses, tightening import controls, and setting stricter standards for Mercosur producers to protect the interests of their own farmers.