4/2/2005
Mercosur-EU Business Forum calls for the re-launch of the EU-Mercosur negotiations

The negotiations for the creation of the largest free trade area in the world, covering almost 700 million people, should be re-launched, stated the Mercosur-EU Business Forum in a joint declaration this week. The conclusion of the EU-Mercosur Association Agreement would establish the first ever region-to-region free trade area.

Commission Vice President Günter Verheugen said:

“Creating the largest marketplace in the world would represent a huge opportunity for business in the EU and in the Mercosur countries. It would contribute to improve competitiveness and to deepen the economic and social integration of both regions.”

The MEBF EU Co-Chairman Guy Dollé, said:

“The implementation of the Agreement will contribute to the efforts to achieve the Lisbon Agenda and strengthen both regions in a fast moving global competitive environment”, while the Mercosur Co-Chairman Ingo Plöger said “The business communities of Mercosur and the EU are eager to see the trade negotiations between the two regions resume and conclude successfully as quickly as possible”.

The Mercosur-EU Business Forum (MEBF) is a business-driven initiative, pursuing the enhancement of trade and business relations between the two regions. Leading European and Mercosur companies and the main business associations develop joint trade policy recommendations and proposals to promote trade facilitation and business cooperation. They have been active partners in the Mercosur-EU negotiations for an Association Agreement, giving the necessary input on the most important technical issues that only business, with the practical experience of companies and federations, is able to provide.

The EU is the first trade partner of Mercosur (Argentina, Brazil, Paraguay, Uruguay) and by far its first source of investment. On its side, Mercosur is among EU’s most important trade partners, especially regarding trade in industrial and agricultural products. The trends in bilateral trade are impressive, with exchanges having doubled in the last 10 years.

The Mercosur-EU Business Forum meeting on 31 January in Luxembourg brought together industries from the EU and Mercosur, under the co-chairmanship of Guy Dollé, CEO of Arcelor, and Ingo Plöger, Member of the Board, Cia. Melhoramentos, and the presence of the European Commission Vice President Günter Verheugen and Brazilian Trade Minister Luiz Fernando Furlan.