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Govt urged to carry out new Mercosur impact assessment given Brexit uncertainty

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The government has been urged to immediately request a full impact assessment of the Mercosur deal on the beef sector, in all Brexit scenarios.

Charlie McConalogue issued the appeal on Sunday, insisting the current government were doing a disservice to beef farmers across the country by failing to act in their best interest.

“In 2016, the European Commission’s Joint Research Centre produced a damming report on the “Cumulative economic impact of future trade agreements on EU agriculture,” the Donegal TD said.

“It reported that additional imports dominated by Mercosur countries from a trade deal would cost the EU beef sector €5bn annually, with prices collapsing by up to 16%.

“The Irish Government failed to put up any fight with like-minded countries in the run-up to Autumn 2017 and acquiesced to the EU’s initial beef offer of 70,000 tonnes to the Mercosur bloc,” he added.

“They also showed no urgency in building a coalition against the increased offer of 99,000 tonnes.

“I find it baffling that the Government have failed to request any new impact assessment since 2016. In the intervening three years, the situation facing beef farmers has gone from bad to worse. They have been failed badly by Government.

“Ireland exports around 90% of our beef into the EU marketplace, with half our total exports to the UK every year. Currently, the EU beef market is 102% self-sufficient. If the UK leaves the EU, this increases to 116% with excess produce saturating the European market.

“This is why we need a new cumulative impact assessment. It’s vital to get a proper and updated assessment as to how the Mercosur beef deal would impact the EU market and depress prices further than originally calculated in 2016.

“Despite the Fine Gael internal battles, which are an affront to the beef farmers who are on their knees, Minister Creed must immediately request a new assessment from his party colleague Commissioner Hogan,” concluded Deputy McConologue.


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