Tánaiste told of fresh concerns over Mercosur despite 'safeguard' clause
The Tánaiste Simon Harris has been warned by farmers and meat industry representatives about their concerns over the European Commission's proposed safeguards in relation to Mercosur.
Last week the European Commission proposed a regulation to strengthen protections for EU farmers in the context of the EU-Mercosur Partnership Agreement (EMPA).
The commission indicated that under the regulation EU farmers would have more safeguards beyond the phase-in of targeted quotas that have been agreed with Mercosur for imports in sensitive sectors.
However neither farmers or meat industry representatives would appear to be reassured by the new proposed regulation.
Representatives from the Irish Farmers' Association (IFA), Meat Industry Ireland (MII), ABP, Dawn Meats, Kepak and Liffey Meats have now communicated these concerns directly to Tánaiste Simon Harris.
Mercosur
According to the president of the IFA, Francie Gorman, "it is very difficult to see how this so-called safeguard clause will be of any help".
Gorman said: "It requires there to be a threat of serious injury to the sector before an investigation is even launched.
"This is a very high bar, and the text says that there needs to be a 10% increase in imports and a 10% drop in price in a calendar year before an investigation is even launched.
“This safeguard clause effectively allows for the gradual destruction of the EU beef and poultry markets as this deal is phased in. It is just a political fig leaf."
Separately the chair of MII, Philip Carroll, said the core message to the Tánaiste was that beef and poultry should not have to pay the price of allowing other sectors in the economy gain access to the South American market.
“The way this deal is structured allows the Mercosur countries to fill their volume quotas with high value steak cuts.
"Once fully phased in, we are giving the Mercosur bloc a tariff windfall gain of over €400 million annually.
"This will undermine the premium end of the EU steak market with an estimate loss of €1.3 billion in EU beef output value. MII estimate that the deal will cost the Irish beef sector between €100-130 million annually, in perpetuity, given our export dependency in these key EU markets," he added.
The president of the IFA has urged Irish MEPs to build alliances with colleagues to "block the ratification of the deal in the EU Parliament”.
“Ahead of taking over the EU Presidency next year, the time for the government to leverage support is now.
"We have had plenty of assurances about the Government’s opposition to the mercosur deal, but it must deliver. We cannot countenance a deal that refuses to recognise the gap in standards between the EU and Brazil,” Gorman warned.
