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José Luiz Tejon

EU–Mercosur Agreement: Far Beyond Borders

Publicado em 14/05/2026

Divulgação
EU–Mercosur Agreement: Far Beyond Borders

Published on May 4, 2026


Agriconscient Show – Broadcast by Radio Eldorado Estadão (Brazil)


*José Luiz Tejon


Translated/Copydesk by Professor Francisco Barbosa Bardhal

The EU–Mercosur Agreement comes into force. Bringing together the world’s second-largest combined GDP, behind only the United States and ahead of China, this free trade agreement between the European bloc and Mercosur goes far beyond dimensions traditional trade flows.

Within and beyond their borders, its strategic implications will extend well past both Europe and South America. For example, we'll see European and South American production chains integrating science, inputs, mechanization, logistics, agro-industrialization, and marketing, pushing themselves, in a positive way, to compete globally against North American, Chinese, broader Asian, Indian, and other Latin American countries.

This integration means that the European–South American alliance, through Mercosur, will attract investment, partnerships, joint ventures, and new business ventures that will operate far beyond their original borders, competing across global markets. For Brazil’s Tropical amAgribusiness, this agreement undoubtedly opens a highly advantageous gateway.

It benefits not only exporters but also buyer sectors, as Brazil represents supply security, quality, and highly competitive costs. This applies across grains, cotton fiber, pulp and paper, fruits, animal protein, and all derivatives of these raw materials which will gain added industrial value in Europe as well as within multinational subsidiaries operating inside Mercosur.

On the other hand, Europe’s terroir-based products, those with unique cultural and geographical identity, will reach Brazil at competitive prices. These include renowned wines, cognacs, cured meats, champagnes, olive oils, and confectionery products, all carrying protected designations of origin and established brands.

Conversely, Brazil will be stimulated to further develop its own tropical terroirs. National products such as the well known spirit  called "cachaça", olive oils, wines, and sparkling wines already internationally awarded, will gain more and more prominence. Sweets and preserves from the semi-arid backlands, as well as Amazonian products like chocolate produced by forest-protecting communities, highlight this diversity.

From the southern Pampas across all biomes, Atlantic Forest, Pantanal, Cerrado, Caatinga, and the Amazon, Brazil will find new opportunities through geographical indications and especially due to a vast potential for Agritourism. Brazilian industry, however, will face significant competition, requiring advancements in logistics and financial structures to support the development and challenges this agreement will bring.

Education will also benefit from such integration. As an example, I have been involved for 11 years in an international MBA in Food & Agribusiness Management (FAM), attracting students from around the world, not only from Europe but also from many countries, in partnership with Audencia Business School in Nantes, France, and the renowned FECAP, ( higher school of management and business), in Brazil.

Yet the concept of “Far Beyond Borders” also lies in the shared responsibility of Brazil, Mercosur, and Europe to foster development in Africa and in regions affected by poverty and deprivation. This is particularly relevant given a little-publicized indicator showing that 60% of European public concern is concentrated on immigration and economic affairs.

Therefore, the EU–Mercosur agreement extends far beyond its own borders. Actually it represents opportunities for economic and social development across markets with vast populations eager for integration and access to the United Nations’ 17 Sustainable Development Goals (SDGs).

In this context, we're witnessing a renewed “discovery” between Europe and the Americas, this time including Mercosur, which may soon draw in the rest of Latin America, opening a new chapter on the global stage. This positive movement will promote citizenship and a global health framework in which food, energy, and the environment are fundamental pillars. In this scene, Brazil is vital, ensuring dignity for nations across the Earth Tropical Belt.

Looking at biogas, biodigesters, and biofertilizers, already in operation through models such as MWM (a Tupy company) in partnership with the Primato cooperative in  the state of Toledo, Paraná, we notice a strong influenced movement based on that established in Europe and now emerging in Brazil, with great potential for expansion across Latin America and Africa.This is yet another socio-environmental and economic example, alongside the vast potential of integrated crop-livestock-forestry systems (ICLF).

In the immediate term, Brazilian specialty instant coffee, fruits, honey, sugar, sparkling wines, cachaça( famous spirit), and biofuels, combined with Tropical Agritourism focused on European markets, allow strong business opportunities.
At the same time, we can celebrate and enjoy the finest European products. Above all, scientific agreements will be essential to accelerate knowledge transfer, implementation, and the collective defense of peace.

The cooperative system, both in Europe and Mercosur, also carries a vital mission moving forward: effective and rapid inter-cooperation.  The alignment of European and Brazilian cooperatives can drive prosperity in regions still lacking basic human dignity across the planet.

A toast to the EU–Mercosur Agreement, a great positive milestone in a critical and challenging moment in human history. I'd call it a “rediscovery,” 534 years after Christopher Columbus arrived on this continent.

May this important "rediscovery" be crowned with  plain success, marking the beginning of a rapid expansion of productive and constructive relations between Europe and Mercosur. “Land ahoy!”as would Rodrigo de Triana, Columbus’s sailor, shouted sighting the first green outlines of America coast.

*José Luiz Tejon PhD in Education from the Universidad de La Empresa/Uruguay, Master's degree in Education, Art and History of Culture from Mackenzie University, Journalist and advertising professional with specializations from Harvard, MIT, PACE/USA, and INSEAD in France. Columnist for Rádio Eldorado and Estadão On-line, and the author and co-author of 37 books. Academic Coordinator of the Master Science Food & Agribusiness Management program at Audencia in Nantes/France and FECAP/Brazil.Managing Partner at Biomarketing and TCA International. Vice-President of the Brazilian Marketing Foundation (FBM) and ADVB - the Brazilian Marketing Foundation and Association of Sales and Marketing Executives of Brazil. Head of Agro at ANEFAC. ABAG 2023 Agro Personality Award. Former director of Grupo Estadão, Agroceres, and Jacto S/A.

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