EU-Mercosur Trade Agreement: Potential Impacts on Rural Livelihoods and Gender (with Focus on Bio-fuels Feedstock Expansion)

Publication Name
Working Paper
Volume, number, page
81
Year of Publication
2008
Author(s)
HINOJOSA Leonith
Organization Name
Brooks World Poverty Institute - University of Manchester
Publisher
University of Manchester
City
Manchester
Country of Publication
United Kingdom
Full Date
February 2008
ISBN or ISSN
978-1-906518-80-6
Category
Reports
Theme
BIREGIONAL RELATIONS UE - LAC
Association Agreeements
Keyword(s)
European Union
Mercosur
Trade
Sustainable Development
Genders
Poverty
Agriculture
Indigenous People
Abstract
The trade-sustainable impact assessment of the European Union-Mercosur trade
agreement found that the economic impact of the trade liberalisation scenario could be
positive in the agriculture sector of Mercosur countries. However, it also found that the
social and environmental impacts would be mixed and potentially detrimental. This paper
addresses the likely effects on the livelihoods of vulnerable rural populations. It argues
that the potential impacts can be analysed within a diversified livelihood strategies
framework, which is expanded to include institutional and policy factors. It concludes
that the negative expected impact responds to the highly uneven access to capital
assets. On the other hand, the effects are not generalised to all Mercosur countries, nor
to all regions in each of the member countries. Enhancing or mitigating measures refer
to the importance of sequencing and regulation to improve disadvantaged groups’
abilities to participate in trade-led agricultural intensification or industrialisation
processes.