A fierce confrontation erupted in the House Agriculture Committee on Tuesday over the looming EU-Mercosur free trade agreement, as lawmakers and farming unions warned the deal would sacrifice Cyprus’s primary sector to benefit German industrial exports.
While the government insists the pact offers “strong safeguards” and opens lucrative markets for Cypriot shipping and pharmaceuticals, critics cautioned that the local market will be flooded with “questionable” South American produce—including honey and poultry—that bypasses strict European pesticide regulations.
The controversy centers on the perceived exclusion of Cyprus’s flagship national product, halloumi. Committee Chairman Yannakis Gavriel questioned how a political decision was reached that leaves halloumi unprotected, while other regional products were included. “When will the agreement be restructured to include halloumi?” Gavriel asked, accusing the administration of acting against the interests of Cypriot citizens.
MP Charalambos Theopemptou added a warning regarding food safety, suggesting that the arrival of low-quality Brazilian poultry might force residents to “rear chickens on their balconies” just to ensure they know what they are eating.
Commerce Minister Michalis Damianos attempted to justify the government’s stance by arguing that the agreement—which involves Argentina, Brazil, Paraguay, Uruguay, and Bolivia—would likely proceed at the EU level even without Cyprus’s consent. He maintained that dairy exports would eventually benefit from lower tariffs and claimed that halloumi’s omission was a result of it not being registered as a Protected Designation of Origin (PDO) when negotiations originally commenced. He assured MPs that the Law Office and technical teams are working on provisions to include halloumi once the deal is ratified.
However, the debate exposed a massive disparity in production costs. MP Christos Orphanides noted that South American honey arrives in Cyprus at €1.50 per kilo, whereas quality local honey costs €5 to produce. Agriculture unions, led by PEK and Panagrotikos, expressed outrage that Latin American farmers use pesticides strictly banned in the EU, creating an uneven playing field. Their concerns were amplified by Herodotus Herodotou, head of Health Services, who admitted that while strict sampling is conducted, “vulnerable” imported products are often sold on shelves for up to 15 days before laboratory results confirm whether they contain prohibited substances.
To mitigate the backlash, Andreas Gregoriou, Director General of the Ministry of Agriculture, detailed a €6.3 billion EU safety net fund and a proposed 20% increase in the Common Agricultural Policy (CAP) budget. He also noted that 344 European products, including Commandaria, Zivania, and Geroskipou Delight, have secured protection. Despite these assurances, consumer and agricultural representatives called on Cypriot MEPs to reject the deal in the European Parliament, arguing that “cheap” imports will ultimately lead to the collapse of the island’s rural economy.
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