Spain and the European Union

Introduction

Integration processes are characteristic of modern times, which define the development of international relations and the entire international community. It is not an exaggeration to say that today the European Union (EU) is the most stable and developed political and economic union. The geographical location of Spain has always favoured pro-European integration. The intersection of European cultures, the similarity of economies and the history of Spain and the EU resulted in the merger of the two regions. The purpose of this essay is to analyse how accession to the EU has affected the economic and political development of Spain.

History of Spain with EU

First negotiations between Spain and the EU on the country’s admission to the union were held in the 1970s after the Francoist dictatorship broke up. However, only in 1986, Spain became a full member of the EU along with Portugal. The new member countries received considerable economic and political support, which helped them move faster towards development and move closer towards the indicators of the other EU member states.

The process of the integration of Spain into the EU can be divided into three stages:

1. the 1970s: the negotiations began between the Spanish side and the EU over the start of integration;
2. from 1980 to 1985: the negotiations were in the process;
3. 1985: all related documents were prepared and signed, and the Treaty of Accession was signed on June 12, 1985, and entered into force on January 1, 1986 (Moreno Juste & Blanco Sío-López, 2016).

Advantages and Disadvantages of Being in the EU

Accession to the EU has brought Spain substantial benefits in both economic and political fields. These are some advantages:

1. European single market lets Spain easily trade with other 27 members of the EU because there are no taxes, tariffs and quotas placed on the traded goods (Bloom, 2017);
2. European funding stimulates economic activity and development of Spain;
3. Free movement of labour and capital that helps to diminish the rise of unemployment, and deal with labour shortages;
4. From the perspective of political benefits, Spain has received a much greater opportunity to have a significant impact on the course of international affairs.

There are also three significant adverse effects of being in the union for the country:

1. Spain is forced to follow the laws and regulations set by EU institutions meaning that the country has lost some of its sovereignty (Mantu, 2019);
2. According to Royo (2016), “The 1992 crisis of the European Monetary System was devastating for the Spanish economy: it led to 3 devaluations and the destruction of most of the jobs that had been created in the second half of the 1980s” (p. 4);
3. The EU does not support the desire of Catalan people to become independent country and ‘do not recognise the civil mobilisation that took place on 1st October, in Catalonia, as a referendum” (“On the political situation”, n.d., para. 9). It is not helping to resolve the problem, but instead, escalating the conflict between the Spanish and Catalan governments.

Economic Development: Issue of Spain

Since its accession to the EU, Spain has been the biggest recipient of European funds under Cohesion Policy. Between 1989 and 2020, Spain received almost €200 billion (“European cohesion policy”, 2016). In 2017, agriculture generated 3% of GDP and employed 4% of the workforce, compared to 9% and 20% in 1978, meaning that the sector became more productive (“Spanish economy after EU”, n.d.). Around 40 billion was allocated to the country for the Multiannual Financial Framework of 2014-2020 (European Commission, 2019). Currently, Spain is one of the most subsidised members in the EU.

Conclusion

There are more benefits than downsides for Spain being in the EU. The primary advantages of EU membership for the country are political and economic gains. Integration with the EU has become one of the reasons for the growth of the Spanish economy stability as the country is one of the biggest recipient of European funds. However, there are some disadvantages, such as some loss of sovereignty and the worsening conflict between Spain and Catalonia, which need to be resolved.

References

Bloom, J. (2017). Free trade area, single market, customs union – What’s the difference? BBC News. 

European cohesion policy, a key factor for Spain’s development and integration in Europe. (2016). 

European Commission. (2019). Including an in-depth review on the prevention and correction of macroeconomic imbalances. (Country Report Spain 2019). Web.

Mantu, S. A. (2019). The Boundaries of EU citizenship: Reflections on borders, citizenship and sovereignty. In P.E. Minderhoud, S.A. Mantu, & K.M. Zwaan (Eds.), Caught in between borders: Citizens, migrants and humans (pp. 155 – 162). Tilburg, the Netherlands: Wolf Legal Publishers.

Moreno Juste, A., & Blanco Sío-López, C. (2016). Spain and the European integration process, 1945–2010. CVCE. W

On the political situation in Catalonia. (n.d.) 

Royo, S. (2016). The euro and economic reforms: The case of Spain. Web.

Spanish economy after EU membership: Transformed but vulnerable. (n.d.).