Austria

Austria reaffirms no to Mercosur agreement

In 1999, negotiations between the EU and the Mercosur countries to set up a free trade zone began. The long negotiations show how controversial the agreement is. Free trade agreements are important for the business location, but may only be concluded if they are fair and balanced and meet the Europeans high quality standards.

Posted on Feb 15 ,00:05

According to Minister of Agriculture Norbert Totschnig, the Mercosur agreement is not one of them: "Restricting our agricultural production in Europe through ever higher standards and at the same time pushing through trade agreements that endanger the rainforest does not go together. We should focus on a strong internal market and security of supply, if we in Europe want to take a sustainable approach to agriculture."

Totschnig speaks out clearly against the Mercosur agreement: “That is my position and it also corresponds to the government program. Our Austrian commitment is paying off, at the same time there is a broad alliance in this country against such an agreement. In complete contrast to this, the government in Germany is in favor of the agreement.” The EU Commission is now trying to force the pact through the back door – with the help of legal sophistry.

Agriculture Minister Totschnig sees the criticism of the current form of the agreement as justified, because: “While Europe is constantly raising climate, animal welfare and social standards, these play a subordinate role in South America. It is inexplicable to import cheap cane sugar and beef from large companies overseas with a poorer climate balance and thus put our family farms and our own supply under pressure. At the same time, the Commission is still putting off its proposal for EU origin labeling for processed foods, and a quick submission is long overdue. There is also a lack of clear answers from the Commission regarding import controls, financial aid to competition and protective mechanisms in the event of sharply rising imports and market distortions.

The pact with South America is like a Trojan horse. "Mercosur may look advantageous at first glance, but it is not compatible with the EU climate and sustainability goals that have been agreed. We will continue to defend our position and our points of criticism in Brussels," concluded Totschnig.