Paraguay

EU delays Mercosur trade deal until January amid farmer protests and opposition from France and Italy.

The European Union has delayed a massive free-trade deal with South American countries amid protests by EU farmers and as last-minute opposition by France and Italy threatened to derail the agreement.

European Commission chief spokesperson Paula Pinho confirmed on Thursday that the signing of the trade pact between the EU and South American bloc Mercosur will be postponed until January, further delaying a deal that had taken some 25 years to negotiate.

Commission President Ursula von der Leyen was expected to travel to Brazil on Saturday to sign the deal, but needed the backing of a broad majority of EU members to do so.

The Associated Press news agency reported that an agreement to delay was reached between von der Leyen, European Council President Antonio Costa and Italian Prime Minister Giorgia Meloni – who spoke at an EU summit on Thursday – on the condition that Italy would vote in favour of the agreement in January.

French President Emmanuel Macron had also pushed back against the deal as he arrived for Thursday’s summit in Brussels, calling for further concessions and more discussions in January.

Macron said he has been in discussions with Italian, Polish, Belgian, Austrian and Irish colleagues, among others, about delaying the signing.

“Farmers already face an enormous amount of challenges,″ the French leader said.

The trade pact with Argentina, Brazil, Bolivia, Paraguay and Uruguay would be the EU’s largest in terms of tariff cuts.

But critics of the deal, notably France and Italy, fear an influx of cheap commodities that could hurt European farmers, while Germany, Spain and Nordic countries say it will boost exports hit by United States tariffs and reduce reliance on China by securing access to key minerals.

Brazil’s President Lula says Italy’s PM Meloni asked for ‘patience’

The EU-Mercosur agreement would create the world’s biggest free-trade area and help the 27-nation European bloc to export more vehicles, machinery, wines and spirits to Latin America at a time of global trade tensions.

Al Jazeera’s Dominic Kane, reporting from Berlin, said Germany, Spain and the Nordic countries were “all lobbying hard in favour of this deal”. But ranged against them were the French and Italian governments because of concerns in their powerful farming sectors.

“Their worry being that their products, such as poultry and beef, could be undercut by far cheaper imports from the Mercosur countries,” Kane said.

“So no signing in December. The suggestion being maybe there will be a signing in mid-January,” he added.

“But there must now be a question about what might happen between now and mid-January, given the powerful forces ranged against each other in this debate,” he added.

Mercosur nations were notified of the move, a European Commission spokeswoman said, and while initially reacting with a now-or-never ultimatum to its EU partners, Brazil opened the door on Thursday to delaying the deal’s signature to allow time to win over the holdouts.

Brazil’s President Luiz Inacio Lula da Silva said Italy’s Meloni had asked him for “patience” and had indicated that Italy would eventually be ready for the agreement.

The decision to delay also came hours after farmers in tractors blocked roads and set off fireworks in Brussels to protest the deal, prompting police to respond with tear gas and water cannon.

Protesting farmers – some travelling to the Belgian capital from as far away as Spain and Poland – brought potatoes and eggs to throw and waged a furious back-and-forth with police while demonstrators burned tyres and a faux wooden coffin bearing the word “agriculture”.

The European Parliament evacuated some staff due to damage caused by protesters.

Dec. 18 (UPI) — Paraguay signed a security cooperation agreement with the United States to strengthen efforts against organized crime, drug trafficking and other transnational threats, as Asuncion seeks to reinforce its role as a strategic partner of Washington in central South America.

The agreement was signed this week by Paraguayan Foreign Minister Ruben Ramirez Lezcano and U.S. Secretary of State Marco Rubio. The document sets out general guidelines for joint work and must be sent to Paraguay’s Congress for review and approval.

Paraguay is a landlocked country between Brazil, Argentina and Bolivia. Its location has made it a key transit point for drug trafficking and smuggling routes across South America, which has led the government of President Santiago Pena to strengthen international security cooperation.

The agreement covers actions against transnational crime, training of military personnel, information sharing, humanitarian assistance and coordination in response to emergencies and natural disasters.

At the signing ceremony, Ramirez Lezcano highlighted the Paraguayan government’s commitment to shared goals with the United States.

“President Santiago Pena is deeply committed to continuing to work strongly on the relationship between our countries and on shared objectives such as fighting transnational organized crime, drug trafficking, human trafficking and corruption,” the foreign minister said.

He added that what is at stake “is not only security, but the freedom of people,” and said the agreement represents an important step to protect both values.

Rubio said the agreement also creates “the opportunity to train together, cooperate, exchange information directly and quickly, and respond to any humanitarian situation that may arise in the future, not only in Paraguay, but in the region.”

“It is a security agreement, but what also exists here is the opportunity to cooperate at the economic level, where there are many opportunities to use Paraguay’s potential so that it becomes a wealthier country,” Rubio said.

He added that Paraguayans are expected to have greater economic opportunities through cooperation with U.S. companies and interests “that are willing to invest responsibly and effectively in the economy and also help create jobs, work and sources of income for the citizens of your country.”

The United States and Paraguay have maintained decades of cooperation in areas such as security, counter-narcotics efforts, institutional strengthening and humanitarian assistance, according to official records from both governments.

Paraguay’s Foreign Ministry has said the relationship with the United States is strategic and has deepened in recent years amid a regional context marked by the advance of transnational organized crime.

The agreement signed in Washington adds to other bilateral instruments already in force and seeks to update cooperation mechanisms in response to emerging threats in South America.