The European Milk Board (EMB) has strongly urged the European Commission and national governments to critically reassess the current developments surrounding the EU–Mercosur free trade agreement and to place the protection of farmers at the centre of their decisions.The board has emphasised that it is saying 'No to the Mercosur agreement' adding that it does not want to see agricultural products "flooding" the EU market "without sufficient control".

The trade deal element of the partnership agreement would see 99,000t of beef, mostly from Brazil, arrive into the EU on a reduced tariff of 7.5%.

In exchange, the EU will be able to export goods to the Mercosur countries at much more favourable tariffs, such as machinery and cars, but also agri-food produce such as olive oil and dairy.

The deal itself is now in the process of being scrutinised as the European Parliament voted to refer it to the European Courts of Justice it for legal opinion on its compatibility with EU laws, which could take 18 to 24 months.

The EMB has outlined a list of concerns it has surrounding the trade agreement with the South American countries of Brazil, Paraguay, Uruguay and Argentina.

Distorted competition and unequal standards

In 2024, around 43% of all Mercosur exports to the EU were agricultural products.

Agricultural goods from the Mercosur bloc already account for a significant share of Mercosur imports, according to the EMB.

The board argues that structural differences in production conditions, standards and costs, such as lower labour costs and weaker environmental regulations, create unequal competitive conditions that place considerable pressure on family farms in the EU.Insufficient controls

Despite existing rules, the EMB claims that it remains questionable whether actual market flows are adequately controlled.

It said that European agriculture depends on reliable quality, health and environmental standards – particularly regarding animal welfare, pesticides and genetic engineering.

"Many of the current control mechanisms are too weak to prevent an influx of low-quality or unfairly produced agricultural imports. This concerns not only South American imports, but also, for example, imports from Ukraine," the EMB has stated.Debunking the myth

Claims that the Mercosur trade deal offers opportunities for European farmers, e.g., through an export boom from which they would benefit, are "misleading" according to the EMB.

"In export-oriented countries such as Ireland, it is already clear that trade with these regions does not benefit farmers," the baord outlined in a statement.

"On the contrary, imports into this sensitive market and sector lead to overcapacity and increased price pressure."

Demands to the European Commission

Reject the Mercosur agreement;
Immediately evaluate and strengthen control mechanisms for agricultural imports from third countries, ensuring effective checks on health, environmental and social standards;
Ensure transparent publication of real market flows and the impacts of imports on farms;
Treat farmers’ interests as equal and essential in trade policy;
Take measures against overproduction to stabilise agricultural markets.