'Good day for democracy': Trade deal affecting Leitrim farmers dealt major blow in EU vote

The controversial Mercosur trade deal that would affect Leitrim beef farmers will be held up for two years after it was sent for a legal review following a vote in Brussels on Wednesday.

Only ten votes separated the sides in the European Parliament on Wednesday morning, as 334 MEPs voted to send the Mercosur trade deal for a legal review following the passing of the resolution that questioned its legality under European law.

The deal, which has taken 25 years of negotiations to get to this point, would see the removal of around 90% of the tariffs that currently exist on imports from South American countries, including Argentina and Brazil.

The EU commission has fast-tracked the deal in the last year amid global uncertainty, rumbles of a trade war with the US, and potential conflict with Russia, prompting the EU to urgently secure the bloc's security through alternative trading partners.

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The deal is not stopped permanently, but the result of today's vote marks a significant blow as it is sent for legal review, which could take between 18 and 24 months.

“We can talk about fair trade, there's no issue with trade deals, but it's about being fair trade,” said Leitrim Councillor James Gilmartin, following the vote.

“There were serious concerns around the traceability and the standards to which farmers in Brazil are held, and the farmers in this part of the world are held to. So it means that they're both hopefully going to be competing on the same playing field.”

He also highlighted concerns around the environmental impact and food safety of Brazilian beef, along with protecting the rights of EU producers, on which the legal review was based.

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The deal would create a 700 million-person free trade zone between the two blocs, which would be phased in over the next 10 years, with specific tariffs and limits being put on the imports of specific products.

EU industries such as cars, machinery, chemicals, and pharmaceuticals would benefit substantially from the tariff reductions, but for those in agricultural sectors, it will pose an unwelcome challenge to their livelihoods and to some, a betrayal by the EU.

Beef

Irish farmers, including in Letirim, have mounted mass opposition to the deal, along with their EU counterparts, arguing that the deal would allow cheaper beef that is not made with the same standards as EU beef to be sold and undercut domestic farmers.

Under the agreement, tariffs on beef imports from Mercosur countries will drop to 7.5%, and they will be permitted to sell up to 99,000 tonnes to the EU at that rate, 55,000 tonnes for fresh beef and 44,000 tonnes for frozen beef, which represents about 1.6% of EU beef consumption.

Irish beef is produced to a high standard in line with strict EU regulations, which do not apply in the Mercosur countries.

The EU has said the same standards will apply to beef bought from South America; however, farmers are not convinced, as shipments of such beef to Ireland were turned away due to the use of illegal hormones in recent months, according to the IFA.

Thousands of farmers turned out to Athlone and Brussels earlier this month to protest the deal, which has been largely condemned across the Irish political system since it was passed by the member states in recent weeks.

Cllr Gilmartin said this is a good day for democracy and praised those who stood against the deal.

“A lot of people who stood up against this should be taking kudos for it too … it shows the importance of standing up for what you believe is right.”​