Talks on free trade between Europe and Mercosur could give way to an agreement within two years, said Miguel Braun, the Secretary of Commerce. This is a positive sign for the business relations between the bloc and Argentina.
The European Union and Mercosur started trade negotiations in 1999, but they have faced many obstacles. "The political leaders of Mercosur and entrepreneurs are convinced that we need more integration with the global economy and that we must update our technology," Braun told reporters in Brussels.
When asked if there could be an agreement by the end of 2017, as suggested by Spain, the Argentine minister said the date was feasible, but that there was no absolute certainty this would happen.
"I am optimistic about the negotiations, I think we can move forward at a good pace. It might be ready in one or two years," he said. Braun is in Brussels attending a week of negotiations between the European Commission and representatives of the nations of Mercosur.
The official admitted that there has been resistance to trade agreements in Europe, as there have been huge demonstrations against the pacts negotiated with the United States and Canada, and that the decision of the UK to leave the EU represents a challenge because it will reduce the market bloc, making it a less attractive business partner.
Trade experts, he said, should do a better job of showing that the trade agreements benefit a majority of people and generate employment. The governments should work on complementary policies to reduce the potential harm that the agreements could have on certain sectors, he added.
"Of course there are challenges from public opinion in the EU. At the same time, and coming back to the question about the Brexit, I think that this agreement is an opportunity to demonstrate that the European project is still dynamic and progressing," Braun said.
The EU and Mercosur exchanged proposals on access to their markets in May this year, including the lists of imports that each party was willing to free. It was the first exchange of offers since 2004.
Source: elpatagonico.com