Paris, Dec 2 (IANS) French President Nicolas Sarkozy said Thursday that the passport-free Schengen agreement should be re-thought and re-founded.

Sarkozy made the remarks while delivering a speech on Europe and the eurozone debt crisis in the southern French port city of Toulon, the same city where he spoke in 2008 about the global financial crisis and the need to ‘re-found global capitalism’, reported Xinhua.

‘A Europe that applies the principle of free movement internally and does not control its external borders cannot last. The Schengen must be re-thought,’ Sarkozy said in the speech.

‘We can not stand unlimited social immigrants,’ he said, stressing that ‘Europe needs more political responsibility.’

Unfair competition caused by ‘social dumping and tax dumping between member states’ could not continue, Sarkozy added.

The Schengen Agreement signed June 14, 1985 near the town of Schengen in Luxembourg allows migrants to travel across Europe’s border-free Schengen zone comprising the territories of 25 European countries that approved the agreement.