Brazil enacts Mercosur-Singapore free trade agreement

Brazilian President Luiz Inácio Lula da Silva enacted Decree No. 13,081 on Tuesday, July 28, formally incorporating the Mercosur-Singapore Free Trade Agreement into Brazilian law.

The deal marks a milestone in Brazil’s trade policy as the first agreement of its kind between Mercosur and a Southeast Asian country.

The agreement is expected to strengthen commercial ties between Brazil and Singapore and affect bilateral trade flows. Under its terms, all Brazilian exports to Singapore will eventually qualify for duty-free access.

The agreement is scheduled to enter into force for Brazil at the international level on August 1, 2026.

Brazilian exports to Singapore are currently made up largely of animal protein products. The chart below shows the market share of the 10 main containerized exports:

Top Exports to Singapore | Jan-May 2026 | TEUs

Source: DataLiner (click here to request a demo)

Approval and ratification process

Mercosur and Singapore signed the agreement on December 7, 2023, during the South American bloc’s summit of heads of state in Rio de Janeiro.

Before it could take effect in Brazil, the text required approval by both houses of Congress. Brazil then deposited its instrument of ratification with Paraguay’s government, which serves as the depositary for Mercosur agreements, in late June.

The agreement’s approval process followed this timeline:

December 2023: Mercosur and Singapore formally signed the agreement during the bloc’s summit in Rio de Janeiro.

June 2026: Brazil’s Chamber of Deputies and Federal Senate approved the text.

July 2026: Lula signed and published Decree No. 13,081, formally promulgating the agreement in Brazil.

August 2026: The agreement’s rules are scheduled to take effect for trade between Brazil and Singapore, including duty-free treatment for Brazilian exports.

Foreign Minister Mauro Vieira also countersigned the decree.

Source: A Tarde

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