The European Union's (EU) latest deforestation law should sound the "death knell" for any future Mercosur trade deal that enables the destruction of the Amazon rainforest to produce beef.

That's according to Fianna Fáil MEP, Billy Kelleher, who has commented on the agreement between the European Commission and European Council to block products, such a beef or cattle, from entering the EU market which are linked to deforestation.

The Deforestation Regulation aims to ensure that a series of products sold in the EU do not come from deforested land anywhere in the world.

When the new rules enter into force, all relevant companies will have to conduct strict due diligence if they place on the EU market, or export from it any of the following products: Palm oil; cattle; soya; coffee; cocoa; timber; and rubber, as well as derived products (such as beef, furniture, or chocolate).

"One such product is cattle, so I cannot for the life of me see how any future Mercosur deal could even include approval for the inclusion of cattle imports from South America into the European Union," MEP Kelleher said.

"Added to this the forced displacement of indigenous community, and it is clear we cannot allow it to continue," he stated.

The MEP for Ireland South stressed that Europe does not need more beef as the bloc produces more than enough itself.

"We do not need poorer quality beef from Brazil," he said.

"The legislation adopted this week must put an end to any inclusion of cattle imports from Brazil in particular, into the European Union."

The EU and Mercosur states – Argentina, Brazil Paraguay and Uruguay – reached a political agreement in June 2019 for a comprehensive trade agreement.

The EU is Mercosur's number one trade and investment partner. EU exports to Mercosur were €45 billion in goods in 2021 and €17 billion in services in 2020.

The EU is the biggest foreign investor in Mercosur with a stock of €330 billion in 2020.

According to the European Commission, the goal of the new EU-Mercosur trade deal is to: