21 December 2025
The ratification of the free trade agreement between the European Union and the Mercosur bloc (Brazil, Argentina, Paraguay, and Uruguay) has been postponed until at least 2026. While the European Commission aimed to finalize the deal this week, opposition led by France and Italy has stalled the process, offering a temporary reprieve to European poultry producers who have long opposed the agreement.
The central point of contention for Italy and France is the demand for "fair competition." For the poultry sector, this specifically relates to sanitary divergence. European veterinarians and producers argue that Brazilian poultry production does not always align with the EU's strict regulations regarding Salmonella control, animal welfare, and antimicrobial usage. The delay signals a push for stronger "mirror clauses," ensuring that imported poultry meat meets the exact same veterinary standards applied within the EU.
While the EU is a global leader in the export of genetic stock and certain animal products (such as pork), the poultry meat market remains vulnerable to lower-cost imports from Brazil. Critics of the deal argue that an influx of cheaper South American poultry, produced with lower labor and feed costs, would destabilize the EU market.
Despite industry concerns, the postponement has drawn criticism from analysts who note that the EU agricultural sector is heavily shielded by €55 billion in annual subsidies. Proponents of the deal argue that European farmers, who benefit from state support unavailable to their South American counterparts, should be able to withstand competitive pressure from Mercosur poultry imports.
