The European Commission (EC) has confirmed that the political negotiations between the European Union (EU) and Mexico on the modernisation of the Agreement have been successfully concluded. The new agreement promises benefits for both EU farmers and Mexican consumers.

According to the EU executive, the renewed agreement will open up new economic opportunities for both sides. This will include the potential for growth in EU agri-food exports to Mexico, which will also support sustainable development initiatives, the fight against corruption and the defence of human rights, according to DG Trade officials.

Agriculture and Food Commissioner Christophe Hansen noted that EU farmers have already exported more than €2 billion worth of food products to Mexico. "This renewed agreement will open up and guarantee even greater market opportunities, so that Mexican consumers can enjoy the best of the European Union," he said.

The new agreement will also reduce trade barriers and encourage investment, supporting job creation and prosperity in both countries. Mexico will open up new opportunities and simplify procedures for small and medium-sized enterprises in the European Union.

The EC stressed that the agreement will "create a wealth of opportunities for EU farmers and agri-food exporters". Mexico is an importer of EU agri-food products and the agreement provides for 100% tariff elimination. Important products for export include: cheese, poultry, pork, pasta, apples, jams, marmalades, chocolate and wine.

The ECVC opposes the agreement

But the EC's decision is not supported by the European Confederation of Small and Medium-sized Farmers and the Confederation of Agricultural Workers' Interests (European Coordination Via Campesina (ECVC)), which are strongly opposed to such an agreement with Mexico.

ECVC argues that the decision puts further pressure on European farmers and that the new trade model „forces EU farmers to specialise their production for export, rather than promoting sustainable practices“ which are needed to achieve biodiversity and climate goals.

ECVC criticises the decision by the European Commission and Mexican leaders, arguing that it will only anger EU farmers by failing to adequately compensate them for the costs of production, and that the main beneficiaries will be multinational trading companies rather than farmers who will be forced to compete with each other.

ECVC notes that the deal will have a similar impact on Mexican farmers and rural communities, as only high-value EU produce will be exported, which only the richest Mexicans can afford. Moreover, the European Commission did not comment in its press release on how many thousands of tonnes of Mexican beef, poultry, pork or honey will enter the EU market with low or no duties.