Working with the Palestinian National BDS Committee, Brazil's Chamber of Deputies Committee on Foreign Relations and National Defense has recommended to the Brazilian Congress not to ratify the free trade agreement between Mercosur and Israel until “Israel accepts the creation of the Palestinian state on the 1967 borders”.

Israel's foreign trade with the five Mercosur companies totaled over $2 billion in 2008. Imports totaled $545 million, including $294 million from Brazil, $150 million from Argentina, and $700,000 from Venezuela. Exports totaled $1.36 billion, including $1.17 billion to Brazil (mostly fertilizers and agrochemical products), and $125 million to Argentina.