The ambassador of the European Union in Argentina, Erik Høeg, was in Río Negro to "understand the dynamics" and assess the impact that the recent agreement between that organization and Mercosur will have in the province.
The diplomat, of Danish origin, has been in the country since September. Last Thursday he met with Governor Alberto Weretilneck and later had dinner at the Residence. He also visited the UNRN and his agenda included tours of productive projects in the Lower Valley.
Río Negro inaugurated its plan to get to know the country, although it has other trips to the interior, as part of delegations.
In an interview with Diario RÍO NEGRO, Høeg explained his opening in Río Negro for "several reasons. I am interested in understanding the dynamics of such a productive province and how the agreement can impact it. It has enormous potential in agriculture, and with the agreement between the European Union and Mercosur, opportunities open up for products like pears, apples, and nuts."
He then listed "energy," such as "the gas from Neuquén that will be exported to Europe passes through Río Negro. A very important infrastructure is being developed here, and the province will play a strategic role, and the European Union is seeking to be more independent and have stable and robust energy supply chains."
Interview with the European Union ambassador in Argentina
Q: What interest did Governor Alberto Weretilneck convey to you during the meeting?
A: We talked precisely about the agreement between the European Union and Mercosur and how it can benefit Río Negro. The governor and his team view it favorably, and we discussed the opportunities it opens for agriculture.
The agreement allows access to a market of 450 million European consumers who seek high-quality products. A new opportunity emerges for the province.
Q: You maintain that the agreement has already begun to be implemented. Since when has it been in effect?
A: The commercial part came into force on May 1. Argentine exporters have already started to take advantage of it. For some products, tariff elimination was immediate, and for others there is a transition period, but in all cases it represents a very important competitive advantage for Argentina.
For example, Entre Ríos has already exported honey under this new scheme, and other Argentine products are also reaching Europe without tariffs.
Q: Which products from Río Negro can benefit the most?
A: There are many. Fruits, especially pears and apples; also nuts, fish, and shellfish. It was a very tough negotiation, which I followed for many years. When I started working with Latin America, this agreement was already being discussed, and today, after 25 years of diplomatic career, it has finally been finalized. Many Argentine products, including those from Río Negro, will enter with reduced tariffs or directly without tariffs, making them much more competitive.
Q: Besides trade, what other topics did you discuss with the governor?
A: We talked about plans to expand Río Negro's productive areas, the infrastructure needed for liquefied natural gas projects, and the importance of sustainable development and environmental protection.
We also reviewed projects previously financed by the European Union that benefited the province, such as programs to improve energy efficiency for small and medium-sized enterprises, helping them save energy and be more sustainable.
We also discussed cooperation between the European Union and Río Negro, the work of different European countries in Argentina, and tools that could support the province's development.
During this visit, I will also tour companies, including the Ferrero Rocher hazelnut processing plant.
Q: Is the European Union considering financing new projects in Río Negro?
A: At the moment, nothing concrete. I took away some ideas after speaking with the governor and will now analyze them with my team. We also talked about infrastructure because it is a topic I have heard from several governors. One of the main bottlenecks for improving provincial productivity is precisely infrastructure, both national and provincial roads.
The European Union has an investment strategy for Argentina and programs related to climate change and sustainable development, but today there is no specific project for Río Negro.
Q: If there is no defined financing today, what kind of support can the European Union provide?
A: We have technical cooperation mechanisms and expert assistance. But for me, as an ambassador, the most important thing at this stage is to get to know the territory, understand how this historic agreement between the European Union and Mercosur impacts a productive province like Río Negro, and talk to the governor and businesspeople to understand the new opportunities.
Argentina is a federal country, and it is important for us to understand the reality of each province.
Q: Europe is closely watching Argentina's energy development. What role can Río Negro play?
A: We do not participate directly because these are private investments, but we follow them very closely. After the war between Russia and Ukraine, we understood the importance of diversifying our energy sources. We are looking for reliable suppliers, and Argentina appears as a very important partner during the energy transition.
The European Union wants to stop depending on hydrocarbons by 2050, but until then we will still need gas. That is why a German company has already signed a contract to acquire part of Vaca Muerta's production.
What matters to us is to have stable supply sources from democratic and reliable countries.
Q: In Río Negro, there is also expectation for green hydrogen. How do you view that project?
A: We still believe it has a great future. The European Union technically supported various green hydrogen projects in Patagonia.
What happened is that international demand did not grow as fast as expected. We thought European industry would need much more green hydrogen, and that growth was slower.
However, we remain convinced that Argentina has enormous competitive advantages. It has excellent wind and solar resources. I am Danish, and more than 50% of my country's energy comes from wind, so I know this topic very well. In Patagonia, wind is abundant, and the potential is enormous, although these projects require very significant investments.
Q: What is needed for this market to fully develop?
A: Fundamentally, a regulatory framework. We have discussed this with legislators from Patagonia because it is important to have clear rules when the market finally takes off.
It is not a challenge exclusive to Argentina; it also occurs in other Latin American countries.
Q: There is the idea that the agreement still depends on the European Parliament. How does the process work?
A: That is a very common doubt. The agreement has three pillars: trade, cooperation, and political dialogue. The commercial part is already fully in force because in trade matters, the European Commission has the competence to implement it, and that happened on May 1.
Now the institutional process continues, with the intervention of the European Parliament and then the national parliaments for the other components of the agreement, but the commercial part has already begun to be implemented. It is not necessary to wait for these stages for the commercial benefits to start applying.
Q: What message do you leave for the businesspeople and producers of Río Negro?
A: Europe represents approximately 40% of all foreign investment received by Argentina, and we believe that the agreement between the European Union and Mercosur creates a framework of greater predictability for trade and investments.
If Argentina continues to consolidate macroeconomic stability, maintains clear rules, and improves indicators such as country risk, it will surely increase the confidence of European companies.
Río Negro has enormous potential due to its agriculture, fishing, energy, and mining. It can arouse great interest in European companies, and we want to accompany that process, facilitate contacts, and strengthen the relationship between Europe and the province.
