Uruguay's Foreign Ministry Submits Mercosur-EFTA Agreement to Parliament for Ratification

The Uruguayan Foreign Ministry handed over to Parliament on Monday the document of the Free Trade Agreement between Mercosur and the European Free Trade Association (EFTA), which was signed on 16 September 2025 in Rio de Janeiro, Brazil, after eight years of negotiations, for ratification and entry into force.

The agreement, signed by the four Mercosur countries: Argentina, Brazil, Paraguay and Uruguay and the four EFTA countries: Iceland, Norway, Switzerland and Liechtenstein, eliminates tariffs for 97% of the products traded between the two blocs and creates a free trade area of almost 300 million people and a combined gross domestic product (GDP) of more than 4.3 trillion dollars.

It is a comprehensive treaty, regulating not only trade in goods and services, investment, intellectual property, government procurement and competition rules, with a specific chapter dedicated to sustainable development.

Currently, Uruguay's exports to EFTA countries are mainly concentrated in beef, fish and seafood, sheep meat, rice, citrus fruits, wine and wool.

Switzerland is the main destination within the bloc, followed by Norway. Iceland registers smaller flows, while Liechtenstein receives Uruguayan products through its customs union with Switzerland.

Uruguayan exports to the bloc reached USD 35 million in 2024. The main product is meat, followed by fish, timber, rice and other items.

The agreement improves access to markets with high purchasing power, where agricultural and agro-industrial products can obtain higher prices than those of other destinations.

In this respect, EFTA countries invest heavily and consumption levels are high. Switzerland and Norway offer bilateral concessions and quotas on high-value products such as beef, milk powder, butter, rice, honey and wine, among others.

For Uruguay, the signing of the Mercosur-EFTA Agreement represents a strategic opportunity for international insertion, with benefits in terms of access to high-value markets and attracting investment. However, it also implies demanding legal commitments and the need to adapt the national productive structure to more rigorous international standards.