Complex business advisory

The European Union is introducing another major legislative change in the field of sustainability – the Packaging and Packaging Waste Regulation (PPWR). This initiative is part of a broader strategy aimed at transitioning to a circular economy and will have a significant impact on manufacturers, distributors, and retailers alike.

What is PPWR and why is it being introduced?

The main objective of PPWR is to reduce packaging waste, increase recycling rates, and limit the use of single-use plastics. The European Union is responding to the steadily growing volume of packaging waste and the insufficient efficiency of its processing. The regulation therefore establishes clear rules to harmonize approaches across member states.

Key changes introduced by PPWR

The new regulation affects the entire lifecycle of packaging – from design to disposal:

• Eco-design of packaging – companies will be required to design packaging that is easily recyclable and minimizes unnecessary materials

• Mandatory recycled content – selected types of packaging will need to include a minimum percentage of recycled materials

• Reduction of excessive packaging – the regulation targets the elimination of unnecessary and oversized packaging solutions

• Reusability – increased emphasis on reusable packaging, particularly in logistics and e-commerce

• Harmonized labeling – unified labeling across the EU to improve waste sorting

What impact will PPWR have on businesses?

PPWR will bring new obligations for companies, but also opportunities:

• Need for innovation – redesign of packaging and investment in more sustainable solutions

• Higher short-term costs – especially when transitioning to new materials and technologies

• Competitive advantage – companies that adapt faster can strengthen their market position

• Transparency toward customers – increasing pressure to communicate sustainability efforts

What should companies prepare for?

To successfully adapt to the new requirements, companies are advised to:

• Conduct an audit of current packaging solutions

• Identify opportunities to reduce material usage

• Monitor legislative developments and implementation timelines

• Engage suppliers and customers in the transition process

• Invest in research and development of sustainable alternatives

PPWR as an opportunity, not just an obligation

Although the new regulation may initially seem challenging, it also represents an opportunity to move businesses toward greater sustainability. Companies that approach this change strategically can not only meet regulatory requirements but also strengthen their brand and customer trust.

Summary: PPWR fundamentally changes the rules of the game in the packaging sector. It introduces higher sustainability requirements while also creating room for innovation. The key to success will be timely preparation and a proactive approach to change.

The European Union and Australia have finalized a major free trade agreement after eight years of negotiations, significantly reshaping trade relations between the two regions. A key feature of the deal is the removal of more than 99% of tariffs on EU exports to Australia, saving businesses an estimated €1 billion annually.

The agreement also opens the Australian market to European exporters and strengthens economic cooperation at a time when companies are seeking stable trading partners beyond traditional markets.

What the agreement brings

For European businesses, the deal primarily means easier and more cost-effective access to the Australian market:

• elimination of nearly all tariffs on EU goods
• expected increase in EU exports by up to 33% over the next 10 years
• reduced administrative barriers and improved conditions for investment

In return, Australia gains broader access to the EU market, where most of its exports are already largely tariff-free.

Impact across sectors

The agreement will affect a wide range of industries. Key beneficiaries include:

• agriculture and food production (wine, dairy products, fruit, meat)
• automotive industry, where vehicle imports will become more affordable
• energy and raw materials, including cooperation on critical minerals

For example, tariffs on EU exports to Australia will be almost completely eliminated, while Australian products such as wine, nuts, and seafood will gain improved access to the European market.

Not only benefits, but also challenges

Although the agreement is presented as a win-win, it has also faced criticism—particularly from parts of the Australian agricultural sector, where some producers consider the negotiated export quotas insufficient.

The agreement also introduces rules protecting European geographical indications (e.g. for food and beverages), which may require adjustments from some Australian producers.

What does this mean for businesses?

For EU companies, the agreement represents a significant opportunity:

• lower export costs
• improved access to a high-income, stable market
• new opportunities in investment and supply chains

The EU–Australia agreement reflects a broader trend toward strengthening global trade partnerships and diversifying markets. For companies looking to expand beyond Europe, Australia could become a key destination in the coming years.

The partnership agreement between the European Union and the Mercosur countries (EMPA) is one of the most significant trade projects of recent decades. It will affect approximately 700 million people and opens up new opportunities for international trade, investment, and intercontinental cooperation.

Negotiations began as early as 1999, and since then the agreement has undergone a long and complex development process. The result is a two-stage model: before the full agreement enters into force, a so-called Interim Trade Agreement (iTA) will be applied temporarily.

Although the signing was originally planned for 2025, the process was delayed due to reservations from some EU member states. A key breakthrough came on January 9, 2026, when representatives of all 27 EU countries approved the agreement. It was subsequently signed on January 17 in Asunción, Paraguay. Shortly afterward, however, the European Parliament referred the document to the European Court of Justice, delaying the final ratification.

On the Mercosur side, the process moved faster. At the end of February 2026, Uruguay and Argentina ratified the agreement, followed by Brazil and Paraguay in March. This completed the ratification process within the region.

For businesses, the key question is: when will the agreement actually take effect? Provisional application may begin on “the first day of the second month following mutual notification” between the parties. Based on current developments, the launch is expected in the second quarter of 2026. The exact date will be published in the Official Journal of the EU.

What does this mean for businesses?

• reduced tariffs and easier access to Mercosur markets

• new export opportunities

• greater legal certainty in trade relations

For both European and South American companies, the agreement represents an important step toward more open and efficient trade. At Calmio.eu, we will continue to monitor developments and provide you with up-to-date information and practical business insights.