Lisbon, Jan. 9, 2026 (Lusa) - The Portuguese National Agriculture Confederation warned on Friday that the agreement between the European Union (EU) and Mercosur will have "more losses than gains" and argued that farmers will see their incomes squeezed even further.
"Over the last few years, we have been warning about the negative consequences of this agreement for farmers, and therefore we see this as very bad news, especially for more peripheral countries such as Portugal, which already have problems with people abandoning agriculture and trade imbalances," said the agriculture confederation leader Vítor Rodrigues in statements to Lusa.
The Council of the European Union today announced the approval of the trade agreement with four Mercosur countries, which is expected to be signed on Monday by the President of the European Commission in Paraguay.
For the Portuguese agriculture confederation, the EU has sacrificed agriculture "on the altar of big industry", particularly in Germany and France, opening the door to Mercosur products, which will squeeze farmers' incomes.
The confederation also stressed that it is impossible to monitor "the other side of the ocean with the same criteria on this side" and highlighted the impact that will be felt in sectors such as beef.
"What we stand to lose will be much more than anything we can gain," he insisted.
Farmers are asking Europe to find ways to dignify their incomes in this context of trade liberalisation.
Among the instruments available, Vítor Rodrigues highlights the ban on purchasing agricultural products below the price of production.
"The European Union's priority in this process has never been agriculture, but big industry, such as the automotive industry," he lamented.
The Minister of Agriculture, José Manuel Fernandes, today applauded the agreement between the EU and Mercosur and highlighted its significant impact on Portugal, which will now be able to settle its deficit with this market.
Speaking to journalists in Lisbon, the minister stressed that, given the geopolitical situation, this agreement is essential, highlighting "great opportunities" for products such as wine, olive oil and cheese.
José Manuel Fernandes pointed out that there is a €500 million deficit in the trade balance with Mercosur and that this agreement will make it possible to settle this figure.
Asked about the possibility of Portugal achieving a surplus, the former MEP considered it possible, given that the country has "excellent companies" that have been doing their job, but pointed out that this agreement is also a challenge and that the country needs to be even more proactive.
The Portuguese agriculture confederation leader Vítor Rodrigues considered that the price of olive oil is already high and that the tariffs applied are not a decisive factor in determining the value of this product.
As for cheese, the confederation said that, from the point of view of the main components of human nutrition, the gains in this sector are not comparable to the losses in the beef, pork and poultry sectors.
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