The European Union\u2019s economy has lost hundreds of billions of euros due to the bloc\u2019s failure to ratify a trade deal with South American trade bloc Mercosur, European Trade Commissioner Maros Sefcovic said in Nicosia on Friday.<\/p>\n
\u201cWe have lost almost \u20ac300 billion because we do not have an agreement in place with Mercosur,\u201d he said during a joint press conference with Cypriot Trade Minister Michael Damianos, before later clarifying that the amount refers to the amount the EU had been projected to gain in terms of its gross domestic product between 2021 and now.<\/p>\n
He also added that this loss is \u201caccompanied by more than \u20ac200bn lost in export opportunities\u201d.<\/p>\n
To this end, he said that \u201cwhen complex negotiations are concluded, the EU cannot wait years for agreements to enter force\u201d, in reference to recent delays brought about by the European Parliament\u2019s decision to refer the EU\u2013Mercosur trade deal to the European Court of Justice.<\/p>\n
With the ECJ possibly not set to deliver a ruling on the legality of that trade deal until 2028, Sefcovic said that \u201cI do not think we can operate in this environment with this timetable\u201d.<\/p>\n
Instead, he said, the approval process for trade deals should be reduced \u201cto about a year after negotiations are concluded\u201d.<\/p>\n
While Damianos did not speak on the matter of the Mercosur trade deal on Friday, he had earlier told the Cyprus Mail that \u201cthe agreement creates clear and substantial benefits for the Republic of Cyprus, both in terms of trade and services, in an environment of increased international uncertainties\u201d.<\/p>\n
He had added that as a result of the deal, the country\u2019s security of supply for critical raw materials would be strengthened, adding that almost all of Cyprus\u2019 imported soybeans came from Argentina and that a \u201csignificant part\u201d of imports of coffee and fruit juices come from Brazil.<\/p>\n
\u201cBy reducing or eliminating tariffs and establishing predictable rules,\u00a0greater price stability and better conditions for Cypriot farmers, livestock breeders, and consumers has been ensured,\u201d he said.<\/p>\n
Crucially, he said, the deal would bring about \u201cnew prospects \u2026 for exports of Cypriot products and services\u201d through the abolition of export tariffs on products being sent from the island to South America.<\/p>\n