Lula says Mercosur - European Union negotiations are advancing

29/10/2003 - 20h31

Brasília, 10/30/2003 (Agência Brasil - ABr) - President Luiz Inácio Lula da Silva, speaking at the Mercosur-European Union Business Forum, declared that negotiations on a bi-regional trade agreement are advancing. Lula pointed out that at the moment the negotiating climate is favorable and relevant commercial offers are on the table. Lula's remarks were made in the presence of Spanish prime minister, Jose Maria Aznar, who is on an official visit to Brazil.

"What is missing for us to reach a good agreement is a package of offers by the EU in the agriculture area. When that happens Mercosur will respond with a significant counterproposal. It must be kept in mind that most Mercosur farm products remain outside the present negotiations," said Lula, adding that in his opinion agriculture should be at the center of the talks, rather than just an additional item on the negotiating agenda.

Lula declared that there was no reason the bi-regional negotiations could not be successful. "This forum is a channel for both communication and participation. It stimulates negotiations and, at the same time, evaluates them.... Our goal is to reach a mutually satisfactory and beneficial agreement for both sides of the Atlantic," said the president.

With regard to Brazil's role in South America, Lula was emphatic, saying Brazil has to have ideas and projects because it is the region's biggest economy and is committed to helping poorer countries in the region with infrastructure, and democratic and economic stability. "But we shall be more than just an investor. We will be a partner with our neighbors as we seek to write a new chapter in our region's history," said Lula.

In his closing remarks, Lula explained that he and Aznar had now met twice and their opinions of each other had evolved. "I spent most of my life thinking Aznar was a conservative. And he always thought I was a leftist. But after we got to know each other, it is clear that he is not as conservative as I thought he was, and I am not as leftist as he thought I was," said Lula. (AB)