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The Uruguayan foreign minister suggests separating from Mercosur: The FA warns and calls for prudence

Francisco Bustillo, Uruguayan foreign minister.
Francisco Bustillo, Uruguayan foreign minister.

At the recent summit of presidents of the mercosurthe president of Uruguay, Luis Lacalle Pou, stressed the need to make the regional bloc more flexible. This position is not new, since the president has raised this issue on several occasions. However, so far, his efforts in this regard have had few concrete results.

In his speech, Lacalle Pou stressed that the current president pro tempore of Mercosur, Luiz Inacio Lula da Silvapromised to complete one of the most extensive negotiation processes in the bloc’s history: the agreement with the European Union. This agreement, which already had a pre-agreement in 2019, was postponed due to political changes in Uruguay.

At that time, the Lacalle Pou government sought to establish bilateral agreements with Chinabut now there is the possibility of resuming negotiations with the European Unionwhich is a positive aspect.

Bustillo suggests that Uruguay should separate from Mercosur

It is important to note that Brazil is Uruguay’s main trading partner in terms of goods. In a scenario where Uruguayan exports have experienced a constant drop for a year, the relationship with Brazil becomes even more crucial. In addition, the water deficit facing the country further aggravates the economic situation. Given this panorama, it is essential to exercise prudence in the approaches that are made in relation to Mercosur.

The senator of the Broad Front (FA), Daniel Caggiani, He has pointed out the importance of maintaining the region as a strategic partner for Uruguay. In his statements, Caggiani emphasized that countries do not move, which highlights the relevance of strengthen ties with neighboring countries and Mercosur as a whole.

In this context, it is necessary analyze carefully the proposals of easing of the block. At the meeting of foreign ministers, the Minister of Foreign Affairs, Francisco Bustillo, raised the possibility of Uruguay ceasing to be a member of Mercosurand this put the FA on alert.

How would it affect Uruguay to stop being a member of Mercosur?

Mercosur is a regional bloc made up of several South American countries, including Uruguay, Brazil, Argentina and Paraguay, among others. Its main objective is to promote economic, political and social integration among member countries, promoting free trade and cooperation in various fields.

Stop being a member of Mercosur would have significant consequences for Uruguay. HE would lose tariff benefits and trade preferences currently enjoyed within the bloc, which could hinder access to certain markets and negatively affect Uruguayan exports. In addition, economic integration and regional cooperation would be compromised.

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