The trade agreement between the EU and the Mercosur bloc, signed on 17 January 2026, will create one of the largest free trade zones in the world. It promises the elimination of customs duties, access to new markets and enormous economic opportunities for 720 million people. For companies from South America, which primarily export agricultural products to Europe, the path seems clear. But while many are looking at tariffs and quotas, they are overlooking an inconspicuous but powerful hurdle that will make the difference between success and failure: the European Packaging Ordinance (PPWR) and its implementation in national packaging legislation. For exporters from Argentina, Brazil, Paraguay and Uruguay, the message is clear: without compliant packaging, there is no access to markets within the EU.
New opportunities, new rules: The PPWR affects more than just trade
The Mercosur agreement is a commitment to fair and transparent trade rules. While the Mercosur bloc is gradually abolishing its tariffs on 91% of European goods, the EU is opening its member states' markets to 95% of Mercosur products in return. Industrial products from Europe meet agricultural goods from South America. Investments are to flow, supply chains for critical raw materials are to be secured and participation in public tenders is to be made possible for both sides.
However, the agreement is more than just an economic treaty. It contains a comprehensive annex on trade and sustainable development. In it, both blocs undertake to comply with ecological and social standards, to conserve biomes and to harmonise with the goals of the Paris Climate Agreement. EU Commission President Ursula von der Leyen emphasised that compliance with regulatory standards is essential for fair and sustainable trade. And this is where it gets serious for exporting companies.
The new EU packaging regulation: the bottleneck for EU market access
While the agreement is still going through the ratification process, facts have already been created in Europe. Two regulations that directly affect market access will soon come into force: the PPWR (Packaging and Packaging Waste Regulation) from 12 August 2026 and EmpCo (Empowering Consumers for the Green Transition) in September 2026.
The PPWR in particular places fundamental new requirements on anyone wishing to place packaged products or packaging on the market in the EU. Its main objectives are to reduce packaging waste and single-use packaging and to massively promote the circular economy. The new regulation applies to all packaging and packaging waste - from sales packaging on supermarket shelves to transport packaging on pallets. Non-compliance will not lead to a small fine, but potentially to the goods being banned from circulation.
For an exporting company from Mercosur, this means that the value of your export business is directly linked to PPWR compliance.
What exporters need to know about packaging now
When the PPWR comes into force, there will be far-reaching structural changes along the entire value chain - from the procurement of raw materials to production and disposal. It is no longer just about getting a product to Europe safely and undamaged. Packaging itself is becoming an independent, additional touchstone that can determine market access. Exporters who do not deal with the new requirements in good time risk delays, additional costs or, in the worst case, complete exclusion from the European market. The following three key areas illustrate what is particularly important now.
1. circular economy: recyclability and the use of recyclates
Alongside reuse, recycling is one of the absolute core topics of the new packaging regulation. The EU is thus pursuing the overarching goal of accelerating the transition to a genuine circular economy and drastically reducing dependence on primary raw materials. Specifically, the Packaging Ordinance stipulates that All packaging must be recyclable from 2030. This means that materials, composites and packaging designs must be designed in such a way that they can actually be processed in existing European recycling infrastructures. Packaging that is theoretically recyclable but for which there are insufficient collection and recovery systems in practice does not fulfil this requirement.
In addition, binding and gradually increasing quotas for the use of recycled material (recyclate) apply to plastic packaging. These quotas will be gradually increased in the coming years, meaning that the proportion of new plastic must fall continuously. From 2030 at the latest, a Brazilian soya producer must therefore ensure that the plastic packaging it uses not only complies with EU standards for recyclability, but also contains the prescribed proportion of recyclate. In practice, this means that when selecting packaging suppliers, it must be checked whether they are able to use certified recyclate in the required quantity and quality. Documentation and verification of the origin and proportion of recycled material are mandatory. Those who invest in appropriate supply chains and partnerships at an early stage will gain a clear competitive advantage.
2. implementation of the regulation: declarations of conformity are crucial
Anyone who places packaging on the market in the EU must submit a declaration of conformity that fully demonstrates that all requirements of the PPWR have been met. This declaration includes information on material composition, recyclability, recyclate content and compliance with any limit values for harmful substances. The formal obligation to prepare this declaration lies with the importer or manufacturer in the EU - however, the necessary technical data, test reports and certificates must be provided in full and completely by the exporter from the Mercosur region.
If this data is missing or incomplete, the declaration of conformity simply cannot be issued - trade stops. Goods can be detained at the border or withdrawn from the market, which can result not only in financial losses but also considerable reputational damage. Exporters should therefore proactively set up a system for data collection and transfer that fulfils European requirements. This includes liaising closely with EU importers to ensure that all necessary information is available in the correct form and language. Early cooperation with specialised consultants or inspection bodies can help to identify and close gaps in the documentation in good time.
3. sustainability: greenwashing ban by EmpCo
In parallel to the EU Packaging Regulation, the EmpCo (Empowering Consumers Directive) prohibits misleading environmental claims on products and packaging. General, vague terms such as "environmentally friendly", "green", "sustainable" or "climate-neutral" on packaging will no longer be permitted in future without specific, verifiable evidence. The EU wants to ensure that consumers can make informed purchasing decisions and are not misled by unsubstantiated marketing promises.
Every sustainability claim must be clear, specific, relevant and scientifically proven. Companies must be able to back up the claims made on the packaging with recognised certifications, independent studies or verified data. For example, an Argentinian meat exporter that advertises the sustainability or environmental compatibility of its packaging must be able to prove this in accordance with strict EU criteria - for example through life cycle analyses, certified ecolabels or transparent information on the carbon footprint of the packaging. Violations of the greenwashing ban can result in severe fines and loss of market access. Exporters are therefore well advised to critically review their entire packaging communication and, in case of doubt, to refrain from making unsubstantiated environmental claims until appropriate evidence can be provided.
Plan instead of waiting: the path to compliance
The deadlines are approaching inexorably - and with each passing month, the room for manoeuvre for affected companies becomes narrower. South American companies that want to secure their long-term competitiveness on the European market must act now. Waiting is not an option, as the regulatory requirements of the PPWR are complex, multi-layered and require far-reaching adjustments that cannot be implemented in the short term. If you only react when the deadlines are imminent, you not only risk delays and additional costs, but in the worst case, you could lose access to one of the largest and most powerful sales markets in the world. Well thought-out, strategic planning is therefore essential in order to fulfil the complex requirements on time and in full. This is not just a matter of mere compliance - companies that implement the new regulations early and proactively can gain a real competitive advantage over less prepared competitors and position themselves as reliable, forward-looking partners for European importers.
New packaging, new obligations: It all starts with an analysis
The first and most important step is a comprehensive analysis of your own packaging portfolio. This involves systematically answering fundamental questions: What materials and combinations of materials are currently used for each type of packaging? Are these actually recyclable according to the strict EU standards - not only in theory, but also in practice within the existing European collection and recycling infrastructure? Which packaging contains composite materials or additives that make recycling difficult or impossible? And how high is the current proportion of recyclate in the plastic packaging used compared to the quotas required in the future?
Equally crucial is the question of how the necessary data for the declaration of conformity can be systematically obtained, processed and managed on a permanent basis. Here, it is advisable to establish digital processes and databases at an early stage that enable seamless documentation along the entire supply chain - from material origin and composition to test certificates and laboratory reports. This is the only way to ensure that European importers can access the required information at any time without delays or interruptions to trade.
Labelling, disposal, manufacturer responsibility
In addition, companies need to address a number of other key issues in detail. These include the labelling of packaging, which must follow harmonised EU-wide requirements under the PPWR - including clear information on the type of material and correct disposal by the end consumer. The requirements for disposal and recycling must also be understood and integrated into the packaging strategy. Technical documentation, which covers the entire life cycle of packaging, is becoming an indispensable part of compliance. Last but not least, extended producer responsibility (EPR) plays a central role: exporters must understand the financial and organisational obligations involved and how these affect the cost structure and cooperation with European partners. Close coordination with specialised legal and business consultants as well as with the respective EU importers is strongly recommended in order to fully understand all requirements and implement them in good time.
The new packaging regulation: strategy is the key
Digital tools such as our PPWR Check© enable a quick and efficient compliance check for the entire packaging range. Instead of being left in the dark, companies get a clear overview of the requirements and deadlines. This frees up valuable time to focus on developing sustainable packaging solutions instead of getting bogged down in administrative chaos.
It's time to act! The Mercosur agreement opens a door to a huge market. But the key to getting through it is a sustainable, standardised and compliant packaging strategy.
