Barbaros COREKOGLU

EU-MERCOSUR FTACONSOLIDATING TRADE WITH

MERCOSUR

Brussels, 9 March 2017

21 Member Associations 15 EU countries

Associate Members- Switzerland- Euromalt- Euromaisiers

1 Extraordinary Member- Gafta

3,500 companies

3

Representativeness in the Food&Feed chain

Global Picture in Agriculture Trade

NorthAmerica

Caribbean

CentralAmerica

SouthAmerica

NorthAfrica

Sub-SaharanAfrica

Europe

RussiaUkraine

EastAsia

SoutheastAsia

Oceania

MiddleEast

Imports

Exports

SouthAsia

TARIFF

Trade barriers

NON-TARIFF

Trade barriers

Multilateral versus Bilateral Agreements

EU Imports from MERCOSUR (t,2015)

0

5.000.000

10.000.000

15.000.000

20.000.000

25.000.000

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Maize Soybeans Soybean MealSource: Eurostat

SBM

EU Imports from MERCOSUR (t,2015)

Source: Eurostat

0

200.000

400.000

600.000

800.000

1.000.000

1.200.000

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Linseed Sunflower seed Soybean Oil Sunflower Oil Sunflower Meal

EU Imports from MERCOSUR (2015, EUR)

Source: European Commission, DG Trade & Eurostat Statistics

65,76%

22,54%

12%

EU Agricultural Imports Imports by COCERAL Members Non-ag Imports

EU-MERCOSUR Trade Barriers• Differential Export Taxes (DETs)

– Argentina imposes differentiated export taxes for Soybeans and Soybean-derived products

– Inability to source soybeans from the MERCOSUR

• Biotechnology– Zero tolerance policy and asynchronous authorizations bear

unbearable legal compliance risks

– 1 incident = 50,000 tons corn/soy shipment = circa €25 ml loss

• Plant Protection – Different active substances authorized for plant protection products

– Diverging maximum residue limits

• Sustainability – Emerging issues, including deforestation, environmental footprint,

biofuels, LULUCF, etc.

COCERAL:

Working together to make trade work

Thank you for your attentionWebsite: http://www.coceral.com

E-mail: secretariat@coceral.com