Context: EU farmers fear that their products will lose competitiveness in the European market. A trade agreement between the EU and the Mercosur countries (comprising Brazil, Argentina, Uruguay, and Paraguay) was signed on January 17, 2026. If it comes into force, tariffs on 90% of goods imported from the EU to these countries will be eliminated for the next 10 years. Additionally, imports from these countries to the EU will be taxed at reduced rates within certain quotas. European agrarians are concerned that they will not be able to compete with South American producers, who have lower production costs and are permitted to use pesticides, hormones, and other methods that are banned for EU farmers. This prospect sparked a wave of protests. Following that, the European Parliament began a legal review of the agreement to ensure its compliance with EU treaties. This can delay or even derail the deal.
Igor Poznyak, the host of CTV’s talk show Mneniya, explained “where this agrarian story began for many EU newcomers”:
“Greece’s once boundless vineyards and cotton fields, Latvia’s sugar factories, Lithuania’s dairy industry, and even the famous Hungarian honey are the price that the newcomers to the European Union paid for joining the bloc — sometimes partially, sometimes entirely. These were Brussels’ conditions: ‘If you’re with us, be kind and play by our rules. Your national interests and historical agricultural traditions aren’t very important to us.’ And how did it happen that major producers of certain goods, having undermined their own domestic industries, ended up turning into mere export markets?” the host asked in a segment aired on February 1, 2026.
Next, they showed a picture shot that began with the words: “The project of European integration, established in 1957 as a brotherhood of nations, has, in practice, become a conveyor belt for producing economic invalids.”
The WTF team examined how food exports from the countries listed by Poznyak have changed since they joined the European Union in 2004. This indicator has increased by nearly 5 times in Hungary, 10 times in Lithuania, and 18 times in Latvia. Adjusting for inflation over a 20-year span, exports in each of these countries more than doubled between 2003 and 2024. That is, joining the EU has expanded markets for their food products.
CTV paid special attention to Greece:
“The first order of business was introducing strict production quotas designed to limit the supply of a new EU member’s products on the market. Greece, for example, produced over 1.5 million tons of cotton in the 1980s but has since reduced its cotton harvest by half after joining the EU.”
It is incorrect to compare Athens today to Athens in the 1980s because Greece joined a united Europe in 1981. The ‘80s were not a golden age for Greek cotton, either.
According to the Food and Agriculture Organization of the United Nations, Greece produced approximately 360,000 tons of the crop in 1980. Since joining the European Union, production has increased. Rather than restricting the industry, EU rules supported it. The EU paid farmers the difference when market prices fell so they wouldn’t go broke. If too much cotton was produced, the minimum price could be lowered to prevent overproduction.
Consequently, Greek cotton production increased to nearly 1.5 million tons by the late 1990s. Although it has declined since the early 2000s, the country still produces twice as much today as before joining the EU.
