Brussels – Agriculture Minister José Manuel Fernandes stated today that the trade agreement between the European Union (EU) and Mercosur could significantly help alleviate Portugal’s trade deficit with Brazil. He noted that, currently, Portugal faces an annual deficit of 500 million euros with Brazil, but believes that with the new agreement, there is potential for a reduction in this deficit within the agri-food and forestry sectors.
During a discussion at the Agriculture Ministers’ meeting in Brussels, Fernandes pointed out opportunities for Portugal to boost exports, particularly in wines, olive oil, and Rocha pears.
The long-awaited agreement, which is slated for finalization this December after being reached in 2019 following two decades of negotiations, presents advantages for Portugal not only in terms of trade but also in geopolitical and climate objectives.
Despite concerns raised by France regarding the agreement, Fernandes maintained that these concerns should not hinder its approval, as he believes it lacks the capacity to form a blocking minority.
The minister highlighted that the agreement includes social and sustainability provisions, describing it as a “win-win” scenario where both parties stand to gain, despite any existing challenges.
Although the EU-Mercosur pact was officially signed in June 2019 after extensive negotiations, it has faced delays due to opposition from certain European nations, particularly France, which is now attempting to rally a coalition to prevent its ratification. (November 18, 2024)
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