Agreement Between the European Union and Mercosur Could Influence the Pet Food Market

The trade agreement signed between the European Union and the Mercosur countries — Brazil, Argentina, Paraguay, and Uruguay — could have significant repercussions for the pet food supply chain, even without including specific provisions aimed at the sector. 
 

The explanation lies in the scope of trade regulations concerning agricultural products and ingredients of animal origin, which are widely used in the production of feed and complete foods for dogs and cats.

While Mercosur stands out as a major exporter of agricultural raw materials, the European Union brings together both significant manufacturers and a strategic consumer market for higher value-added products. 
 

The proposed agreement aims to reduce tariffs and expand market access between the two blocs, which could benefit different stages of the production chain.

What does the agreement between the European Union and Mercosur entail?

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After about 20 years of negotiations, representatives from both blocs reached a political agreement in December 2024. 
 

In September 2025, the European Commission approved two parallel legal instruments: the European Union–Mercosur Partnership Agreement and an Interim Trade Agreement.
 

Both agreements were signed in January of this year and are now proceeding to internal ratification and timeline definition stages, which will determine when and how the planned measures will come into effect in practice.

Customs Classification Defines the Impact on the Pet Sector

Even without directly mentioning pet food, the agreement could affect the sector through the classification rules used in international trade. 
 

Tariff agreements are usually organized based on the Harmonized System (HS), which groups goods by technical codes.
 

In the case of complete dog and cat foods intended for retail sale, the classification used is HS code 2309.10, corresponding to dog or cat food prepared for direct sale to the consumer. 
 

If the tariff lists of the agreement include this code, pet food products will automatically be covered.

Ingredients and Raw Materials Also Come Into Play

The same principle applies to ingredients used in the manufacture of pet food, which fall under other codes related to animal feed and agricultural production. 
 

Thus, the agreement can influence both the export of finished products and the supply and cost of raw materials.
 

In practice, the effects vary depending on how each tariff line is treated, the implementation deadlines, and factors such as logistics, exchange rate fluctuations, and regulatory requirements.

Sanitary Requirements Remain Mandatory for Trade with the European Union

Despite the potential reduction in tariffs, the agreement does not alter the sanitary standards of the European Union.
 

Pet food products are still required to fully comply with requirements related to animal health, product safety, and traceability.
 

What can happen is the standardization or recognition of certain procedures, making the commercial process more predictable, without relaxing the control criteria.

Impacts Depend on the Implementation of the Agreement

For the pet food industry, the concrete impacts of the agreement between the European Union and Mercosur depend on the final definitions regarding tariffs, the timetable for its entry into force, and the ability of companies to meet regulatory requirements.
 

Even without specific rules for the pet sector, the agreement shows how trade policies can indirectly influence the market through regulations applicable to agricultural trade as a whole.

FAQ about the European Union–Mercosur Agreement and pet food

Does the agreement directly mention food for dogs and cats?
No. The impact occurs indirectly, through customs classification rules.
 

Could Brazilian pet food products benefit from this?
Yes, depending on the tariff reduction applied to codes that include pet food.
 

Do European health requirements change with the agreement?
No. Safety, animal health, and traceability regulations remain mandatory.

Source: Cães & Gatos