This Friday, June 28th, Mercosul and the European Union finalized the negotiations between the two regional blocs.

The accord that includes goods, services, investments and government purchases, has been under discussion for two decades between Europeans and South Americans. Talks started in June 1999. Offers were exchanged in 2004 but disappointed both parties and were interrupted. In 2010, the two blocs started again to switch proposals.

The final round of negotiations was initiated by technicians last week. Ministers from Mercosul and the EU were called on Thursday 27th and are putting an end to meetings in Brussels.

The agreement between Mercosul and the EU is a landmark. It is the second most important treaty signed by the Europeans – only after the one signed with Japan – and is the most ambitious achieved by Mercosul.

The agreement will enable most products to be commercialized between the two blocs without taxes. The Europeans will rapidly eliminate taxes but will maintain import quotas for some agricultural products. Concerning Mercosul, it could take up to a decade for the most part of aliquots to be suppress.