2023-07-07 21:04:04
Four years have passed since the announcement of the free trade agreement between Switzerland and the states of Mercosur, the South American common market. Currently in Brazil, Federal Councilor Guy Parmelin is taking stock of the progress of the file, which has taken a long time.
In April 2022, we learned that the file was at a standstill. Announced in August 2019, the free trade agreement was to allow tax reductions for trade with Uruguay, Paraguay, but especially Argentina and Brazil.
If the Covid-19 pandemic has considerably slowed down the progress of this agreement, this is not the only reason, explained Guy Parmelin on Friday on the RTS program Forum. “The change of government in Argentina but also aspects related to environmental protection with strict EU requirements have slowed down the process.”
>> Read also: Free trade agreement between Switzerland and Mercosur stalled
Go forward
The Minister of the Economy, who is currently in Rio within the framework of this file, says however to observe “positive signals”. “The negotiators will be able to meet soon to move forward,” he said. Regarding the skepticism on the part of the peasant world and environmental NGOs, Guy Parmelin retorts “never sign a free trade agreement once morest a branch”. And the Vaudois added: “Brazil wants to invest mainly in sustainable sectors, whether in terms of water management or public transport.”
Negotiators can meet soon to move forward
Guy Parmelin
Regarding the departure of Jair Bolsonaro, known to be openly climatosceptic, from the head of the Brazilian government, Guy Parmelin says he feels “a change of atmosphere”. He notably gives the example of President Lula who made the promise to stop deforestation in the Amazon during COP27.
>> Read also: President Lula on his way to put Brazil back on the international stage
Win-win
“On the European side, we can participate in measures in favor of the environment by bringing our expertise. Brazil needs the technologies developed in the West. If we stay away, everyone will be a loser”, explains the Federal Councilor .
Aspects of sustainability and the interest of local populations must also be taken into account.
Guy Parmelin
If, following the pandemic, free trade agreements have sometimes been called into question, Guy Parmelin believes that they retain all their relevance today. “Especially for a small country like Switzerland with its 8.5 million inhabitants. But of course it must always be a win-win situation. The aspects of sustainability and the interest of the local populations must also be taken into account” .
>> See the Forum debate between Isolda Agazzi, head of international trade at Alliance Sud, Francis Egger, vice-director of the Swiss Farmers’ Union, and Jan Atteslander, member of the management of Economiesuisse, responsible for economic relations international:
The great debate – Should trade between Switzerland and South America be facilitated? / Forum / 19 min. / yesterday at 8:05 p.m.
Interview by Renaud Malik/hkr
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