The agreement is expected to lead to a huge increase in Brazilian beef exports to all EU countries.   Under the agreement, the EU will open its markets to a quota of up to 99,000 tonnes of beef per year, at a preferential duty rate of 7.5%.  Farmers across the EU are opposed to this, especially small farmers who fear being underestimated in terms of price.  The COPA-COGECA union, which represents 23 million farmers across the EU, warned that the deal “will go down in history as a very dark moment.”  The Irish Farmers` Association condemned the deal as “shameful and weak balances”.  Representatives of four of the five main parties in the EU sub-committee of the Austrian parliament voted against the EU-Mercosur free trade agreement. The agreement is expected to be approved by its approximately 280 delegates. The free trade agreement between the European Union and Mercosur is a free trade agreement on which the EU and Mercosur agreed in principle in 2019.  The agreement was announced on 28 June at the G20 summit in Osaka in 2019, after twenty years of negotiations.   Although there is a consensus in principle, the final texts have not been finalised, signed or ratified and therefore have not entered into force.
If ratified, it will be the largest trade agreement concluded by both the EU and Mercosur as far as the citizens concerned are concerned.  The trade agreement is part of a broader association agreement between the two blocs. In addition to trade, the Association Agreement would also cover cooperation and political dialogue. Negotiations on these two parties ended on 18 June 2020.  Almost all parties to the EU sub-committee of the Austrian Parliament voted against the draft EU-Mercosur free trade agreement late Wednesday. The draft EU-Mercosur trade agreement, a free trade area comprising Brazil, Uruguay, Paraguay and Argentina, was announced last June, after nearly a decade of negotiations. It also calls for applicable labour standards to be incorporated into future European trade agreements. It is believed that the increasing application of protectionist measures by national leaders facilitated the resumption of talks in 2016.  The EU can hope that the agreement constitutes a significant break in this global renewal of protectionism.
 European Commission President Jean-Claude Juncker called the agreement a support for “rules-based trade” at a time of rising protectionism.  Mercosur may hope to use the agreement as a model for future agreements.  Mercosur presidents have already declared that they want to conclude trade agreements with Canada and EFTA.  Argentine President Mauricio Macri said the agreement with the EU was “not a point of arrival, but a point of entry.”  The agreement, which is said to have 780 million people, aims to remove barriers to trade and promote high standards, by imposing sustainable forest management and conservation and respect for workers` rights. On Wednesday, MEPs on the Austrian Parliament`s subcommittee voted almost unanimously to reject the draft free trade agreement, forcing their government to veto the pact at EU level, where all 28 member states and their parliaments must approve trade deals. . . .