“In practice, most trade between Mercosur and the European Union will occur with reduction or complete elimination of tariffs, without quantitative restrictions”, highlighted the MDIC
The federal government defined rules for the adoption of import and export quotas in the agreement between Mercosur and the European Union in ordinances published this Friday, the first day of provisional validity of the free trade agreement between the two blocs.
The Ministry of Development, Industry, Commerce and Services (MDIC) informed in a note that the incidence of quotas is limited to around 4% of exports and 0.3% of imports.
Quotas are quantity limits imposed on certain products, whether for export or import, within which there is a more beneficial tariff incidence.
“In practice, most trade between Mercosur and the European Union will occur with reduction or complete elimination of tariffs, without quantitative restrictions”, highlighted the MDIC.
In the case of imports, the ministry informed that products such as vehicles, dairy products, garlic, tomato preparations, chocolates and confectionery items will now follow a model based on the order of registration of licenses.
“To guarantee the use of the quota, the importer must link the license to the Single Import Declaration (Duimp) within 60 days, respecting the limits per operation”, he said.
In the case of exports, quotas cover products treated by the government as strategic, such as meat, sugar, ethanol, rice, corn and derivatives, as well as items such as honey, eggs and drinks such as rum and cachaça. Distribution follows the same request order principle, observing the limits of each quota.
According to the ministry, the division of quotas between Mercosur countries is still under negotiation.
