RIMINI, ITALY--(Marketwired - Jun 13, 2013) - In his State of the Union address, U.S. President Barack Obama made clear his intentions to work toward positive trade relations between the United States and the European Union -- and while those negotiations may soon commence, the import and export consultants at Ego International say that there are some significant hurdles that will need to be overcome. Ego International points to a recent article from IVN which notes that, while many are optimistic that a trade agreement can be reached, this is ultimately a complex undertaking, and one that cannot necessarily be addressed in a short span of time. Ego International has released a new statement to the press, commenting on the IVN article.
"A more positive trading relationship between the U.S. and the European Union would indeed prove advantageous," comments Ego International, in its press release. "However, in order for this to happen, it is vital for a deal to be worked out that benefits each European nation equally."
To this end, there are many obstacles brought up in the IVN article. For example, the article notes that negotiations will likely begin in June, and that all parties involved express a desire to resolve the issue by the end of the summer. However, trade negotiations generally take years to complete -- which has prompted many experts to express skepticism that this rigid timetable can be upheld.
The benefits of an EU-US trade agreement could prove myriad, however. IVN notes that these two economies account for half of the world GDP, and a third of all trade activities. A resolution to reduce tariffs and non-tariff barriers between the two entities could ultimately lead to sustained economic growth on both sides of the Atlantic.
"Certainly, a positive trade agreement can prove advantageous to all parties involved, something we have found to be the case in all of our import and export arrangements in Italy and abroad," comments Ego International.
In recent years, many of the trade barriers between the US and the EU have been significantly reduced. Of the barriers that remain on the table, however, many are quite contentious. In particular, differences in safety standards within the food industries, as well as in auto manufacturing, remain points of extreme disagreement.
IVN notes that agriculture is another big issue, with many European nations already "up in arms" to defend their farm subsidies. Still another hurdle is the fact that continued economic stagnation in the United States -- coupled with an unemployment rate that is still relatively high -- has made many voters unsympathetic toward any kind of trade agreements, despite the fact that such agreements could stimulate significant economic growth in the long turn.