Bolsanaro allows sugarcane cultivation in the Amazon

Mr.  Jair Bolsonaro, the Brazilian president’s decision to allow sugarcane cultivation in the Amazon region has emerged  as a further obstacle to a trade deal between EU and South America, European Commission officials have warned.

The EU sealed  a deal in June with the Mercosur bloc – Argentina, Brazil, Paraguay and Uruguay after two decades of  negotiations. The deal slashes tariffs on each side’s exports Eu to include reduced duties on industrial goods and wine, while South America producers will receive  preferential access to European Beef, poultry and sugar markets.

The deal faced criticism from France, Ireland and Austria.

The president’s  decision to repeal a 2009 decree baring sugarcane production in the Amazon. Data released showed deforestation in the Brazilian Amazon has soared this year to its highest level in more than a decade. In the 12 months to the end of July, deforestation reached almost 9, 800 sq km, up 30 per cent from the previous year, according to Brazil’ space research agency.

Brazil exported 34, 000 tonnes of sugarcane ethanol  to the EU in 2018 but under the proposed terms of the Mercosur agreement it plans to increase exports to 650, 000 tonnes,  Critics say it is not necessary to open up new land for cultivation because  44m hectares are already degraded monthly in the south and would be suitable for expansion. The end of sugarcane decree will  only benefit 1.5 per cent of sugarcane producers