Paraguay's Ministry of Foreign Affairs informed representatives of the productive sector that there is still no consensus among Mercosur countries on the methodology for distributing export quotas provided for in the trade agreement with the European Union (EU). The meeting took place on Monday, August 18, in Asunción, and was led by Foreign Minister Rubén Ramírez Lezcano.
Representatives from entities such as the Rural Association of Paraguay (ARP), the Paraguayan Meat Chamber (CPC), the Paraguayan Sugar and Alcohol Center (CAAP), the Paraguayan Rice Exporters Chamber (CAPARROZ), the Paraguayan Poultry Farmers Association (AVIPAR), the Union of Production Guilds (UGP), and the Paraguayan Chamber of Exporters and Traders of Cereals and Oilseeds (Capeco) participated in the meeting.
According to the Foreign Ministry, the Mercosur member states have not yet reached an agreement on how to divide export volumes to the European bloc, due to divergent proposals presented by the partners. Paraguay publicly advocates for an equitable distribution of 25% of the quotas for each of the four member countries—a position that has the unanimous support of the local private sector.
Foreign Minister Ramírez Lezcano reaffirmed that the country does not seek privileges, but equity, and that the bloc's credibility depends on the benefits of integration reaching all members fairly. He had already expressed concern last June, during the Mercosur Summit in Paraguay, claiming that the volumes initially proposed for the country did not reflect its productive capacities.
Authorities and sector representatives agreed on the need to seek technical alternatives to unlock the negotiation and reach a consensus with Argentina, Brazil, and Uruguay. The Foreign Ministry committed to maintaining coordination with the private sector to defend the competitiveness of Paraguayan products and ensure their access to the European market.
The Mercosur-EU association agreement was signed on January 17 of this year, after more than 25 years of negotiations. The trade part entered into provisional effect on May 1, awaiting final ratification by the European Parliament, which submitted the text for analysis to the EU Court of Justice. The pact creates a potential market of 700 million people and provides for the liberalization of over 90% of tariffs.