Paraguay to seek review of EU export quotas in October

Paraguay's Foreign Minister Rubén Ramírez Lezcano announced that a review of export quotas to the European Union, established under the Mercosur trade agreement, is scheduled for October. This review comes after Paraguay formally requested "equity and balance" in the distribution of these quotas during the recent Mercosur Summit in Asunción.

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equity and balance

The Paraguayan government expressed concern that the proposed allocation criteria for export quotas to the European market do not sufficiently represent the country's productive capacities or its commitments within the agreement. Minister Ramírez Lezcano stated that the issue of export quotas is currently under negotiation, with cold and frozen meat, and rice being among the primary products under discussion.

Under the Mercosur-EU agreement, the bloc grants Mercosur a contingent of quotas. Paraguay is seeking an equal distribution of these quotas among its member states, Argentina, Brazil, Paraguay, and Uruguay, to ensure a fair and balanced distribution of benefits. Currently, the system operates on a "first country serve" basis, which Paraguay fears could disadvantage its products and competitiveness.

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The implementation of the trade agreement between Mercosur and the European Union must guarantee a fair, balanced, and solidary distribution of benefits among all States Parties.

During the Mercosur summit, leaders also initiated coordination for humanitarian aid to Venezuela following devastating earthquakes. However, the focus for Paraguay remains on securing equitable terms within the EU trade agreement, particularly concerning agricultural exports like meat and rice, where they believe current proposals do not align with their production capabilities.

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We want that distribution to be in equal parts, considering the efforts we have made in trade negotiations, and therefore, not reaching an agreement on equitable and balanced distribution so far, means that it functions under the modality called in English First Country Serve, the first one who arrives, the first one who accesses.