Farmers' President Ritter is playing high-stakes poker: half a billion is the "absolute minimum" for him to say yes to Mercosur
For Switzerland's export economy, trade with South America is important. A compromise proposal is intended to save the agreement in the Council of States. However, no one is really satisfied with it.
The Swiss export economy relies heavily on trade with South America, and a free trade agreement with Mercosur countries (Argentina, Brazil, Paraguay, and Uruguay) is crucial for Swiss companies. The agreement, which could save Swiss companies over 155 million francs in tariffs annually, was rejected by the National Council in June due to opposition from left-wing and right-wing parties.
A compromise proposal has been put forward in the Council of States, which includes 517 million francs in compensation for farmers and measures to ensure Mercosur countries comply with International Labour Organization regulations and protect the Amazon rainforest. The proposal has a good chance of passing in the Council of States, but its fate in the National Council is uncertain, and there are concerns that the agreement may be rejected, potentially leading to a referendum.
Written by urgent.news from NZZ Wirtschaft's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
