Inesc (Institute of Socioeconomic Studies) expressed concern about the , approved after 25 years of negotiations, as it saw socioeconomic and environmental risks and for fear that it would end up deepening an unequal division of international trade.
The agreement was approved this Friday (9) by countries from the European bloc and will be the largest of its kind in the world, with a .
In Inesc’s assessment, the negotiation was marked by a lack of transparency and the exclusion of directly affected sectors.
“The agreement had been negotiated for more than 25 years by the blocs, with various sectors of the economy of countries on both sides of the Atlantic and civil society organizations expressing their concerns regarding the text”, says Carolina Alves, policy advisor at the institute.
“Starting with the lack of transparency in the negotiations that were carried out behind closed doors, without the broad involvement of the affected sectors or understanding of the terms since the text was only translated after the negotiations were finalized in December 2024”, he adds.
Inesc also assesses that an EU-type agreement tends to deepen an unequal division of international trade, reinforcing the exploitation of Mercosur’s productive capacity in primary products, while the Europeans would concentrate the production of manufactured goods and the provision of services with greater added value.
According to Alves, this compromises the development of South American countries and negatively impacts the living conditions of the population.
Another point of concern is the incentive to expand agricultural activity for export, which, he says, encourages deindustrialization, the loss of jobs in the industrial sector and the reprimarization of the economy.
“The expansion of agricultural activity in Brazil will contribute to the increase in greenhouse gas emissions, as the activity will stimulate the expansion of the agricultural frontier and the increase in areas for livestock farming, which are some of the biggest vectors of deforestation”, he says. The institute’s political advisor also predicts “increased environmental devastation and the use of pesticides, which affects the health of workers and the quality of food and soil.”
Inesc also expressed concern about the reduction and elimination of import tariffs for minerals, which tends to increase mining activity in Brazil and other Mercosur countries, “generating significant environmental impacts on soil and water, in addition to directly affecting traditional communities and indigenous peoples who live in or near mineral-rich territories.”
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