According to Reuters, the European Commission secured Italy’s backing for the Mercosur deal on Tuesday, opening the door for the agreement to be signed as early as next week.
Back in December, Italy and France had blocked progress on the agreement, saying they were not ready to support it without clear guarantees for farmers, who fear an influx of cheap agricultural products from South America, particularly beef and sugar.
However, Italian Prime Minister Giorgia Meloni welcomed a letter from the European Commission proposing to fast-track €45 billion in support for farmers, describing it as a “positive and significant step forward.”
Italian Agriculture Minister Francesco Lollobrigida added that the EU is now proposing to increase funding for Italy’s agricultural sector in the 2028–2034 period instead of the previously discussed cuts.
According to an EU source, following these signals Italy plans to vote in favour of the Mercosur agreement at a meeting scheduled for Friday. Approval of the deal requires the support of at least 15 member states representing 65% of the EU population. The European Commission, backed by Germany and Spain, expects to secure such a majority in the coming days—potentially by January 12.
The EU’s largest deal in terms of tariff cuts
In Brussels, officials stress that the agreement, negotiations for which lasted 25 years, will become the EU’s largest trade deal in terms of tariff reductions. It is intended to boost exports that have come under pressure from US import tariffs and to reduce dependence on China by securing access to critical raw materials.
At the same time, opposition to the deal remains. Poland and Hungary continue to oppose it, while France still voices concerns. For this reason, Italy’s position is seen as decisive for the final approval of the agreement.
In the coming days, the European Commission has invited all 27 EU agriculture ministers to a meeting in Brussels. European commissioners for agriculture, trade and health are expected to provide additional assurances to farmers regarding future funding under the EU’s Common Agricultural Policy, including a €6.3 billion crisis fund in the next seven-year budget.
The European Commission has also pledged to review import rules, including permissible maximum levels of pesticide residues. Officials in Brussels acknowledge that this is a “critical moment” to address farmers’ demands and to find a balance between trade liberalisation and the protection of the agricultural sector.
PigUA.info, based on materials from thepigsite.com