This move by Carrefour is supported by French farming organizations but has also provoked a diplomatic backlash from South America. Brazilian interest groups are now calling for a boycott of Carrefour, accusing it of protectionism and undermining free trade.
In Poland, dozens of farmers expressed their dissatisfaction with the Mercosur agreement by blocking a border crossing to Ukraine for a day with tractors. The farmers demand that the Polish government take a stronger stance against the agreement, which they say will have disastrous consequences for the local agricultural sector. Following talks with Polish Agriculture Minister Siekierski, it was decided to temporarily suspend the blockade until December 10.
The timing of these protests is no coincidence. The Mercosur agreement is likely to be discussed during a conference in Uruguay of European and South American ministers on December 10. There is a real chance the agreement will be signed there despite the ongoing resistance.
EU Agriculture Commissioner Janusz Wojciechowski says the upcoming ratification of the Mercosur agreement will lead to a significant increase in agricultural imports from South America. According to him, imports of meat and agricultural products would rise by as much as 1 billion euros annually. This would be harmful to European farmers, who claim it will undermine their market shares.
With increasing tensions among farmers, policymakers, and businesses, the Mercosur agreement appears to be not just an economic issue, but also a politically charged battle over trade values and production standards.