After 25 years of negotiations, the EU-Mercosur trade agreement is closer than ever to being signed.

The agreement with the Mercosur bloc (including Argentina, Brazil, Paraguay and Uruguay) is part of the EU’s efforts to work around tariffs imposed by the Trump administration in the US.

In theory, new deals with new markets, like the Mercosur one, might compensate for a downturn caused by the tariffs, which bring unprecedented tax levels to trade with the US.

The deal would see Mercosur countries remove import duties on 91% of EU goods.

However, on the other side of the agreement, the Mercosur countries (including agricultural behemoth Brazil) would get to sell their goods to the EU with fewer restrictions. These include sugar, honey, soybeans, and, importantly to Ireland, meat.

Irish farmers have voiced concerns about meat imports, as the deal could undercut European meat and lead to standards being lowered, as Mercosur countries are not within the EU.

Who’s for and who's against?

Mercosur has seen protests from farmers across Europe, specifically in Austria, France, Hungary, Ireland, Poland, Slovakia, and Spain.

The agricultural group Copa Cogeca is also against it, recently saying: "The economic strain and falling prices on EU producers are already evident, with one-third of EU poultry imports (in both quantity and value) already coming from Mercosur countries, and increasing volumes of beef, sugar, maize, honey and ethanol poised to enter the EU market.”

Additionally, some environmental activists have said that the deal could accelerate deforestation in Brazil.

At present, Hungary and Poland have suggested that they will vote against the deal, while Belgium, Ireland, Italy, and The Netherlands have voiced concerns.

Despite initial reservations, France is in favour, though it still faces pressure from opposition parties to reject it.

The biggest financial beneficiaries are arguably Germany and Spain. The former is heavily invested in machinery and automotives, while the latter has strong manufacturing, pharmaceutical and chemical industries.

The EU does not need Ireland’s vote for it to pass, if it gets enough votes from other countries.

European Commission President Ursula von der Leyen hopes to sign it in Brazil before Christmas.

Ireland’s reaction

Irish voices against the Mercosur deal include those of farmers, MEPs, government and opposition.

Last week, Minister for Agriculture, Food and the Marine, Martin Heydon, spoke about the agreement during parliamentary questions.

“Along with the Minister for Foreign Affairs and Trade [Helen McEntee], who has lead responsibility for trade policy, I have actively engaged with both the European Commission and with other member states across the EU to voice Ireland’s concerns in relation to the EU-Mercosur Agreement,” he said.

“During these engagements, we have repeatedly emphasised Ireland’s requirements for credible, legally-binding commitments on matters relating to trade and sustainable development, including climate, biodiversity, and deforestation protections.

Both Taoiseach Micheál Martin and Tánaiste Simon Harris have repeatedly voiced their opposition to the deal.

Meanwhile, members of the IFA have spoken out strongly against it.

Concerns about the deal have been raised also by Irish MEPs and opposition parties, including Sinn Féin.