Euratex, the body representing the European textile and apparel sector, has partnered with 25 other European business associations to advocate for the complete ratification of the EU-Mercosur Partnership Agreement.
This coalition, which includes various European fashion industry organizations alongside representatives from other sectors, asserts that the EU-Mercosur Agreement will play a vital role in bolstering the long-term competitiveness of the EU.
Key associations involved in this initiative include the European Footwear Confederation (CEC), the European Branded Clothing Association (EBCA), and the Confederation of National Associations of Tanners and Dressers of the European Community (COTANCE). They expressed, “In this unprecedented time when the rules-based global order is being critically undermined, this free trade agreement represents a beacon in the EU’s diversification strategy.”
Together, the members of these associations account for a substantial portion of the trade in goods and services, with a forecast of over €153 billion ($176.86 billion) in exchange between the EU and the Mercosur region for 2024. Additionally, mutual investments between these regions are projected to reach approximately €380 billion in 2023.
According to calculations from DG Trade, the agreement is anticipated to contribute €77.6 billion to EU GDP and €9.4 billion to the GDP of the Mercosur countries by 2040. Moreover, the agreement is expected to result in a 39% increase in EU exports to Mercosur and a 17% rise in Mercosur exports to the EU.
The associations characterize the EU-Mercosur Agreement as a contemporary accord grounded in modern principles. They state, “It will deliver increased market access and improved access to resources while preserving key sectors in European domestic markets, diversifying secure supply chains, and fostering investments for both sides. It will also help us deepen our cooperation on sustainable development, in areas such as fighting climate change, preserving biodiversity, and advancing labour and social rights.”
European business leaders strongly express their support for the EU-Mercosur Agreement and urge the European Council and Parliament to promptly ratify both the EU-Mercosur Interim Trade Agreement (iTA) and the EU-Mercosur Partnership Agreement (EMPA).
In pursuit of this goal, they emphasize the necessity to “streamline the ratification process and ensure timely completion to avoid procedural delays.” The associations further assert, “This is a crucial opportunity for Europe that will support growth and prosperity for one-fifth of the global economy—benefiting approximately 750 million people.”
