Breeders fear EU-Mercosur pact will affect Belgium business

Breeders fear EU-Mercosur pact will affect Belgium business
A Limousin breed cow is held by the bridle after a competition during the Libramont outdoor agricultural fair in Libramont, Belgium. (AFP)
Updated 29 July 2019
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Breeders fear EU-Mercosur pact will affect Belgium business

Breeders fear EU-Mercosur pact will affect Belgium business
  • Farmers at Libramont are unconvinced and pessimistic for the future despite the impressive size and quality of their livestock, proudly on display
  • Farmers to face competition from the vast ranches of South America

LIBRAMONT, BELGIUM: The Libramont agricultural show is the highlight of the year for Belgium’s proud beef industry, but this year even the sunny skies of western Europe’s record heatwave couldn’t chase one looming shadow away.

The breeders parading their famous Belgian Blue beef cattle will soon face competition from the vast ranches of the South American pampas.
Resistance is building among some European farmers against a draft trade deal reached by EU officials with the Mercosur group — Argentina, Brazil, Paraguay and Uruguay.
After 20 years of negotiations, officials in Brussels — 140 kilometers (80 miles) northwest of the pastures of Ardennes — are very pleased with the accord that could save European exporters €4 billion ($4.5 billion) in duties per year.
But, as member states decide whether to ratify and implement the deal, EU farmers and environmentalists are less excited.
Beef breeders in particular say that EU quality standards are higher than those in Latin America, and fear a flood of cheap meat will drive them to the wall.
“We are already close to over-production in all of Europe and in Wallonia as well ... The last thing we need is Brazilian meat, especially when we see the conditions in which it is produced,” warns Hughes Falys, beef producer and farmers’ union spokesman.
“Mercosur isn’t a case of ‘Yes, maybe’ or ‘Yes, if’. Mercosur is ‘No!’,” declares the Wallonia regional Farming Minister Rene Collin to loud applause.
Collin might not be a regular on the G20 summit circuit or at WTO get-togethers. But the world’s trade negotiators may find they have to listen to the French-speaking Belgian region of Wallonia, home to only 3.6 million people.
In 2016, the region held up Belgium’s signature of the CETA trade deal between the entire EU and Canada, and it could make life complicated for Brussels once again.
“We made them evolve CETA. We made them put important safeguard clauses in there. We’ll be just as vigilant when it comes to Mercosur,” Collin told AFP at the four-day fair and trade show.

BACKGROUND

• Resistance is building among some European farmers against a draft deal reached by EU officials with the Mercosur group.

• After 20 years of negotiations, officials in Brussels are very pleased with the accord that could save European exporters €4 billion in duties per year.

• But, as member states decide whether to ratify and implement the deal, EU farmers and environmentalists are less excited.

And he warns that the regional Parliament and Belgium’s members of the European Parliament could vote against ratification.
The European Commission has tried to reassure farmers, so far to no avail.
The deal contains two big promises to the sector: Increased beef imports will be limited to 99,000 tons a year, and €1 billion will be set aside for European farmers.
Farmers at Libramont are unconvinced and pessimistic for the future despite the impressive size and quality of their livestock, proudly on display.
“Lots of older farmers find it difficult to sell up, especially livestock farmers,” says Beatrice Ghyselen, a 61-year-old farmer from Vedrin, outside the Wallon capital Namur.