How the Mercosur countries will divide their quota of beef in the EU?
Uruguay hopes that the quota for beef agreed between Mercosur and the EU will be split equally between the 4 countries of the South American bloc. According to the agreement signed at the end of June, Mercosur group will be allowed to export 99,000 tonnes of beef carcass in the EU (76,000 tonnes of product weight) with a duty of 7.5%. 55% of that volume is for chilled beef and the rest consist of frozen beef. "If the quota will be distributed equally by 25% for each participant of the block the savings in tariffs would be approximately $90 million for every country. We were successful because there was no definition of the type of meat that can be entered," explained Daniel Belerati, president of the Uruguayan Chamber of Refrigeration Industry (CIF).
The agreement will take effect once it is approved by the parliaments of the European Union and Mercosur. Once the agreement is activated every Mercosur country will benefit from a 0% tariff on their Hilton quota for beef, which in Uruguay's case represents an additional saving of $14 million.
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