EU countries gave greenlight on Friday to the trade deal with South American bloc Mercosur after 25 years of talks.
BRUSSELS, Jan. 9 (Xinhua) -- Member states of the European Union (EU) on Friday gave provisional backing to the EU-Mercosur free trade deal in a qualified-majority vote, paving the way for the bloc to formally sign it in Paraguay, according to EU sources.
France, Poland, Austria, Ireland and Hungary opposed the deal, while Belgium abstained. Italy voted in favor after pushing for extra assurances from the European Commission for its farm sector, a swing seen as decisive in securing a qualified majority.
The agreement has split EU capitals for years. Supporters including Germany and Spain argue it is central to opening new markets as Europe seeks to cushion the impact of U.S. tariffs. Opponents led by France, the bloc's largest agricultural producer, say it risks boosting imports of cheaper beef, poultry and sugar and squeezing domestic farmers.
The pact is with Mercosur members Brazil, Argentina, Uruguay and Paraguay and would create a free-trade area of more than 700 million consumers. Talks have dragged on for over 25 years and, according to the European Commission, the EU's largest trade deal to date would eliminate more than 4 billion euros (4.65 billion U.S. dollars) in duties on EU exports each year.
EU rules require support from at least 15 member states representing 65 percent of the bloc's population. The outcome is due to be formalized in writing by 5 p.m. Brussels time, with Commission President Ursula von der Leyen expected to travel to Paraguay to sign the deal as early as Jan. 12.
The agreement still requires approval by the European Parliament before it takes effect. (1 euro = 1.16 U.S. dollar) ■
