Trade: reciprocity should come first, not last

Today, the European Parliament voted on the safeguard clause linked to the Mercosur agreement. Unfortunately, in the context of Mercosur, the work on reciprocity was rushed through, as it was not taken on board properly by the negotiators from the European Commission, nor from the Council, during the negotiation itself. 

The vote and adoption of substantial amendments on reciprocity by the MEPs, with a broad majority, send a clear signal to the European Commission : no trade deal can be negotiated without a proper integration of a full reciprocity of norms and standards. This is a substantial political message that the European Commission should fully take into account for current and future negotiations as the level playing field is not negotiable, without damaging the trade policy of the EU itself. 

It is, however, regrettable that the discussions on reciprocity are coming retroactively when it comes to the EU/Mercosur agreement, shedding light on the weaknesses and imbalances of the EU position in this negotiation. In addition, the European Parliament also missed the opportunity to add an automatic triggering of the safeguard mechanism that would be the only way to prevent serious damages and timely actions when it comes to market stabilisation.

Safeguard clauses should be automatic and realistic to protect already fragile but strategic economic sectors such as agriculture, based on clear quantitative thresholds, and with reciprocity fully integrated in the agreement, especially for sectors connected to the use of natural resources. 

 All trade agreements – and Mercosur makes no exception – should fully integrate  genuine and effective reciprocity measures. Without a level playing field in terms of rules, standards and controls, European competitiveness and the sustainability of EU production are at serious risk.

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