Guedes takes advantage of his meeting with Argentines to resolve the malaise with a statement on Mercosur – 16/01/2019 – Market



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Paulo Guedes, Minister of Economy, took advantage of President Jair Bolsonaro's long meeting with Argentine President Mauricio Macri and his delegation to remedy a malaise caused by the statements made on Mercosur on the day of the second round of the presidential election.

On the night of October 28, the date on which the election of Bolsonaro is confirmed, Guedes responds to Rio de Janeiro to a question from a journalist from the Argentine newspaper Clarín. "Mercosur is not a priority Mercosur is not a priority, is not it?"

The content of the statements aroused the concern of the Argentine authorities , whose main trading partner is Brazil.

According to two participants at the meeting held on Wednesday at Plbadto Palace and which included Bolsonaro, Macri and a group of ministers from both countries, Guedes said that his October speech was a " misunderstanding "and misunderstanding He even contextualized the episode for the Argentineans: he, for example, responded in a harder way because the journalist would have asked repeated questions on the question in a very incisive way.

Guedes also stated that Mercosur was important and that the government does not intend to consider the block as irrelevant. Besides Brazil and Argentina, they are part of Mercosur, Paraguay and Uruguay.

In another speech to the Argentineans, Guedes said that he valued trade and bilateral relations with the neighboring country, according to meeting participants. This is the first time that Guedes delivers his speech on the day of the second round of the presidential election. In recent months he has repeated to his interlocutors that the episode of October did not reflect his point of view on Mercosur. At Wednesday's meeting in Plbadto, however, it was the first time that the minister was discussing the issue in a room where were the president of Argentina and the most senior official of the country. administration of the neighboring country

MERCOSUR AGENDA

says Minister Guedes on the Plbadto, however, does not mean that Brazil will stop working because of changes in the structure of Mercosur. During talks between the Brazilian and Argentinian authorities on Wednesday in Brasilia, the two countries aligned a joint speech on the regional alliance: Brazil and Argentina will work with the other members of Mercosur to conclude the trade agreements already in advanced phase.

On the Brazilian side, there is still a plan to seek mechanisms for future agreements allowing the country to explore other forms of negotiation with partners outside Mercosur. In practice, the Brazilian government wants more autonomy and flexibility in the rules that prevent a bloc member from negotiating independently with third parties.

Brazil and Argentina also managed to unify the Mercosur Common Tariff Speech, a tax-to-importance rate agreed between the four bloc members. According to one of the Brazilian negotiators, the goal is to discuss with Uruguay and Paraguay in order to reduce this customs duty.

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