Stocker and Meinl-Reisinger want to review Mercosur Agreement

Chancellor Christian Stocker (ÖVP) and Foreign Minister Beate Meinl-Reisinger (NEOS) expressed cautious optimism about the Mercosur agreement. Stocker and Meinl-Reisinger emphasized that they were not familiar with the current proposal and highlighted the existing parliamentary resolution against Mercosur. The Chancellor stated he would be pleased if approval could be achieved in parliament.

Mercosur Agreement: Meinl-Reisinger and Stocker for Free Trade

The Austrian parliament spoke out against Mercosur in 2021. The government must adhere to this resolution, emphasized both Stocker and Meinl-Reisinger, as well as Vice Chancellor and SPÖ leader Andreas Babler on the sidelines of the government retreat on Wednesday. However, the NEOS leader stated she would welcome a parliamentary resolution for the agreement. Her party has "always been very clearly pro-free trade" and did not participate in the parliamentary resolution. However, concerns must be taken seriously.

In principle, ÖVP leader Stocker also spoke out "in times like these" for free trade. However, he emphasized that there are concerns in the areas of agriculture and the environment not only in Austria. Countries like France, Italy, and Poland have also expressed criticism in the past. When the final proposal comes, it will be reviewed to see if a different majority in parliament can be achieved, said Stocker. Reportedly, "a lot has been taken into account" in the proposal.

"This offers a wonderful opportunity to strengthen our competitiveness," said EU Council President Antonio Costa in Vienna at another press conference with Chancellor Stocker. This is especially true for Austria and its significant trade surplus with Mercosur. The agreement is important for new products and services. "We need this new Mercosur agreement. I think these are also good news for Austria because it will also drive your exports to this very important market."

Totschnig: Unchanged Rejection of Mercosur Agreement

Agriculture Minister Norbert Totschnig (ÖVP) reaffirmed on Wednesday that his stance on the EU-Mercosur agreement remains unchanged in opposition. "The parliamentary resolution from 2019 continues to bind the government to speak out against the agreement. I still stand firmly behind this opposing resolution," said Totschnig in a clarification. The EU Commission had previously given the green light for the free trade agreement with the Mercosur states.

In the afternoon, a joint press release with Economy Minister Wolfgang Hattmannsdorfer (ÖVP) suggested that a cautiously optimistic tone towards Mercosur could be heard within the government. In the joint statement, the two ministers emphasized "especially against the backdrop of currently massively changing international trade relations" the great importance of international trade and fair trade agreements for Austria. "Our agriculture also benefits from the export economy. As an export-oriented country, open markets and clear rules are essential for our economic success and competitiveness," it said.

The legitimate concerns of farming families must be taken very seriously, especially in the context of the Mercosur agreement, therefore "close monitoring and a crisis fund for possible negative impacts are central." The proposal from the EU Commission will be carefully reviewed and evaluated together with experts. Totschnig does not want this to be understood as a change in his opposing stance on Mercosur.

Babler Wants to Review Criteria of Mercosur Agreement

SPÖ leader and Vice Chancellor Andreas Babler did not want to speak for or against the free trade agreement. It is about the conditions and criteria under which free trade takes place, he said - such as worker protection, ecological issues, air standards, and the future of the small-scale farming structure in Austria. One must wait until the proposal is available.

"This offers a wonderful opportunity to strengthen our competitiveness," said EU Council President Antonio Costa in Vienna at another press conference with Chancellor Stocker. This is especially true for Austria and its significant trade surplus with Mercosur. The agreement is important for new products and services. "We need this new Mercosur agreement. I think this is also good news for Austria because it will also drive your exports to this very important market."

The EU Commission initiated the final voting procedure on Wednesday, and the legal texts for the agreements with the Mercosur countries Brazil, Argentina, Uruguay, and Paraguay are to be presented to the member states. In Austria, only the NEOS have shown openness to the agreement in the past, with the farmers' wing of the ÖVP being opposed and the economic wing being supportive. The SPÖ has been critical, while the FPÖ and the Greens are against it.

Greens remain critical of Mercosur agreement

The position of the Greens has not changed. It is not about whether to trade, but "how and at whose expense," said federal spokesperson Leonore Gewessler in a press statement. The National Council's rejection was "completely appropriate." If the agreement were to "cut the branch on which it sits" for Austria's small-scale agriculture, "nothing would be gained, but much would be lost."

The Chamber of Agriculture (LKÖ) and the ÖVP Farmers' Association once again expressed strong criticism. The agreement runs "completely counter to our efforts to secure our family farming, supply security, and climate and environmental protection," emphasized LKÖ President Josef Moosbrugger. Farmers' Association President Georg Strasser considers the pact "unfair and unbalanced," and therefore the parliamentary decision should not be shaken.

For Sebastian Theissing-Matei of the environmental organization Greenpeace, nothing changes "in the fundamental problem," namely the "windfall for large corporations - at the expense of nature." Global 2000 also sees "a clear contradiction to climate and environmental protection goals." The globalization-critical Attac fears that "undemocratic procedural tricks" could bypass national parliaments.

Tyrol's Deputy Governor Geisler clearly against Mercosur agreement

On Wednesday, Tyrol's ÖVP Deputy Governor Josef Geisler, in his role as chairman of the Farmers' Association, also strongly opposed the Mercosur agreement. "Imported cheap goods from South America, produced under significantly lower standards, distort the market and endanger the existence of our family farms," Geisler explained in a statement, among other things.

Industry in favor of Mercosur agreement

The agreement is known to find supporters among the ranks of the industry. Even in light of the current recession in Austria, trade agreements are an important economic stimulus for the domestic economy, and it is now up to the member states to "open the window for growth, jobs, and exports," said the Secretary General of the Federation of Austrian Industries (IV), Christoph Neumayer.

(APA/Red)

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