The Importance of Economic Integration and Trade Liberalisation, Using the Example of the Trade Agreement between the EU and Mercosur Countries

Abstract

Globalisation increases the closeness of national markets and the interdependence of countries around the world, which means that all countries develop their economies according to uniform rules and regulations established by international organisations. The universal need for countries to export some goods and services leads to trade liberalisation, which in turn promotes regional integration. Trade liberalisation is considered a key policy of globalisation. The overall objective of trade liberalisation is to increase the rate of economic growth of countries on a sustainable basis, consistent with the achievement of other macroeconomic objectives. One of the main objectives of liberalisation is to make economies more open to trade and investment, so that they can integrate more directly into the regional and global economy. The EU is strengthening access to open markets through its own enlargement, by welcoming new members into the integration, and by concluding economic integration agreements with other countries around the world. The purpose of the FTA between the EU member states and Mercosur is to gradually liberalise trade in goods and services and to open up the public procurement markets of the parties. The research discusses the basis for the emergence and importance of a regional trade agreement between the EU and Mercosur members, and analyses the volume of trade on the basis of data.