Like all EU trade agreements, the EU-Mercosur agreement gives governments of both parties complete freedom to manage the distribution of water or other essential services as they see fit. They always decide whether these services are part of the public or private sectors. The agreement between the EU and Mercosur is no different. The agreement is expected to result in a significant increase in Brazilian beef exports to all EU countries.   Under the agreement, the EU will open its markets to a quota of up to 99,000 tonnes of beef per year, at a preferential rate of 7.5% inches.  Farmers across the EU oppose it, especially small farmers who fear being underestimated in terms of prices.  The COPA-COGECA union, which represents 23 million farmers in the EU, warned that the agreement „will go down in history as a very dark moment“.  The Irish Farmers` Association condemned the agreement as a „shameful and weak sell-off“.  The agreement will eliminate these high tariffs and other trade barriers, such as ambiguous rules and regulations or compromising procedures, making it easier for European producers to export to Mercosur.
Negotiations began on 28 June 1999. After the suspension of the talks, negotiations resumed in 2010. The long-standing negotiations gave new impetus in 2016, when the EU and Mercosur each submitted new offers to reduce tariffs. On 28 June 2019, the European Union and Mercosur reached a political agreement on an ambitious, balanced and comprehensive trade agreement. The new trade framework, part of a broader association agreement between the two regions, will strengthen a strategic political and economic partnership. The agreement will not infringe EU or Mercosur law: the free trade agreement between the European Union and mercosur is a free trade agreement on which the EU and Mercosur have agreed in principle in 2019.  The agreement was announced on 28 June at the G20 summit in Osaka 2019, after 20 years of negotiations.   Although there are convergences in principle, the final texts have not yet been finalised, signed or ratified and have therefore not entered into force. If ratified, this would be the largest trade agreement concluded by both the EU and Mercosur with regard to the citizens concerned.  The trade agreement is part of a broader association agreement between the two blocs. In addition to trade, the Association Agreement would also address cooperation and political dialogue.
Negotiations on both sides ended on 18 June 2020.  Dinaman Tuxa, an indigenous leader, said: „Agreements like this only increase the level of violence against indigenous peoples. We must tell the EU that the signing of this free trade agreement could lead to genocide in Brazil. If they sign this agreement, the blood will flow.  The resumption of negotiations on the controversial Mercosur agreement and trade policy with the United States is one of the priorities of the German Presidency of the Council of the EU. It is unlikely that other Member States will like this. EURACTIV Germany. Once the texts are definitively and legally revised, they will have to be translated into all the official languages of the EU and Mercosur.  The texts are then submitted by the European Commission for approval by the Council of Ministers of the European Union.