"The conclusion of the EU-Mercosur Free Trade Agreement (FTA) is a step forward in strengthening trade ties. It also highlights an opportunity for the EU to further enhance its life sciences competitiveness and health resilience through greater market diversification in future FTAs. This will help the region to remain competitive and resilient in the years ahead.

While the agreement includes some progress for the innovative pharmaceutical sector, particularly through partial tariff reductions, it could have gone further in delivering the level of ambition needed to fully support innovation. In particular, EU FTAs should aim to include key provisions on intellectual property protection -  such as Regulatory Data Protection and Supplementary Protection Certificates - and meaningful access to public procurement."