In 2018, the Council of the European Union authorised the opening of negotiations for a free trade agreement between the EU and Australia. Many rounds of negotiations have taken place, but no agreement has been reached, despite both sides announcing in April 2025 that they had consensus on core issues such as agricultural market access and raw material supplies, among others. However, this particular trade deal has been sidelined by its big-brother, Mercosur. But, it is back on the table again and is a cause for concern, according to senior policy advisor with Copa & Cogeca, Ksenija Simovic. She said: “The EU-Australia Trade Deal is a cause for concern, potentially becoming a Mercosur 2.0. This trade deal if passed, would see 24,000 tonnes of beef and 20,000 tonnes of sheepmeat entering the EU at a reduced tariff of 7.5per cent. It would not be good agreement for EU and Irish farmers.”
It is understood that EU Commission president, Ursula von der Leyen, will travel to Canberra in February to sign the pact. And although no agreement has been reached on how much beef and sheepmeat Australian farmers could export to the EU, they would like to see the above tonnages doubled.
Eariler this week, cold water was poured on the Mercosur trade deal with the announcement that it has been referred to the European Court of Justice, potentially delaying any progress for 18-24 months, it is understood.