EU Offers Farmers €45 Billion to Save South America Trade Deal

The European Commission has proposed an early payment of €45 billion to European farmers. The move aims to calm their strong opposition to a major new trade agreement. Brussels hopes to finalize the deal with the South American Mercosur bloc next week. Mercosur includes Argentina, Brazil, Paraguay, and Uruguay. Farmers fear the pact will allow cheaper foreign food imports into the EU. They say this will hurt their businesses and lower food standards. The funds are part of a larger EU farming support budget. Offering the money now is a direct attempt to address these protests before signing the deal. The Commission did not specify if the payment would change any terms within the trade agreement itself.