Spain is committed to the "immediate" implementation of the agreement with Mercosur

BrusselsThe Minister of Economy, Trade and Business, Carlos Cuerpo, advocated this Thursday for the "immediate" implementation of the trade agreement between the European Union (EU) and Mercosur, even though the European Parliament has agreed to challenge the pact before the Court of Justice of the European Union (CJEU) due to doubts about its compatibility with EU law.

The agreement between the EU and the Mercosur countries –Argentina, Brazil, Uruguay, Paraguay and Bolivia–, It was sealed last Saturday in Paraguay. despite the opposition of the peasantry, which in Catalonia led to a chain of events up to four consecutive days of protestsThe free trade agreement will create a joint market of more than 780 million people and is estimated to save Europeans €4 billion in tariffs. But farmers oppose it because it means the entry of products that do not meet the strict criteria the EU imposes on its own producers.

"This is not the first time this has happened, and that doesn't prevent us from starting implementation immediately, which is why Spain pushed for it," the Spanish government's economic advisor told the media in Davos, where the World Economic Forum is being held. In fact, Cuerpo noted that the agreement with Canada is in the same situation. "It's an agreement that hasn't finished its ratification process, but it has been under implementation for years," he said.

Potential losses

One of the arguments used by the minister is that for every month the implementation of this agreement is delayed, the European Union loses more than 4 billion euros in GDP. "There is no time to lose," he said. The minister argued that the benefits of the Mercosur agreement go beyond trade because they also provide access to diversification, for example, of raw materials or rare earth elements, which are increasingly important for Europe and also for Spain. "Spain, as a link between the European Union and the countries of Latin America, will benefit from Mercosur, and we must be able to convey this important message," the Spanish government's economic advisor insisted. More protests

The farmers lifted the blockades on Monday, January 12, after meeting with the president of the Generalitat, Salvador Illa, who promised to form a united front to minimize the impact of the EU-Mercosur trade agreement. Two days later, the Spanish Prime Minister, Pedro Sánchez, announced a package of measures to facilitate generational change in agriculture.

However, farmers are not satisfied and will continue their protests: a nationwide demonstration is planned in Madrid for February 11th.

Division in the EU

Spain is not the only European Union member state pressing for the Mercosur trade agreement to be implemented as soon as possible. German Chancellor Friedrich Merz has also publicly called for its implementation, even though it has not yet received final approval from the European Parliament. Conversely, France, which voted against the agreement and is the main opponent, is asking the European Commission to wait for the European Parliament's vote and thus postpone its entry into force. One of the objectives of the meeting of European leaders this Thursday in Brussels is to smooth over these differences.