President Luiz Inácio Lula da Silva officially submitted the trade agreement between Mercosur and the European Union (EU) to Congress on Monday (Feb. 2).

Brazilian lawmakers must approve the treaty for it to take effect, which is expected to happen in the coming weeks through votes in both the House of Representatives and the Senate.

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The agreement establishes the world’s largest free trade zone, with more than 720 million inhabitants. It was signed by representatives of both sides on January 17 in Asunción, Paraguay.

Under the approved terms, the treaty eliminates customs tariffs on most goods and services traded between the two blocs.

Mercosur will lift tariffs on 91 percent of European goods within 15 years, while the European Union will remove tariffs on 95 percent of Mercosur goods within 12 years.

Despite the formal signing between the two blocs, the agreement still needs to be ratified by the national congresses of each Mercosur country, as well as by the European Parliament.

In Europe’s case, however, submitting the agreement to the Court of Justice of the European Union (CJEU) for review - a decision made two weeks ago - has stalled the process and could delay the final stage by up to two years.

The Brazilian government expects that approval by the National Congress will put pressure on the European Parliament to advance the agreement.