Global Tax News (29/08/2019) - The European Free Trade Association (Iceland, Liechtenstein, Norway, and Switzerland) and the Mercosur group of countries (Argentina, Brazil, Paraguay, and Uruguay) concluded in substance a broad-based free trade agreement at the tenth round of negotiations from August 20 to 23, 2019.
According to a summary of the agreement, the FTA is described as comprehensive and covers trade in goods, trade in services, investment, intellectual property rights, government procurement, competition, trade and sustainable development, legal, and horizontal issues including dispute settlement.
In terms of tariff cuts, the summary states that the FTA provides for meaningful tariff concessions on both basic and processed agricultural products.
Among the EFTA states, agricultural exports such as cheese, coffee, chocolate, lamb, spirits, sweets, waters, energy drinks, and wines will benefit from the agreement through the gradual elimination of duties, through tariff preferences, or through tariff rate quotas on products.
In return, EFTA states will offer concessions for agricultural imports of high importance to Mercosur.
The FTA is now subject to ratification procedures at national level. The agreement will enter into force on a bilateral basis between the parties after their notification of ratification.
Read more at https://www.tax-news.com/news/EFTA_And_Mercosur_Blocs_Conclude_Free_Trade_Deal____97275.html