By Gustavo Rossetti Viana — São Paulo
19/08/2026

Brazil is racing against time to ensure the lawful origin of minerals and meet the tax, regulatory and environmental requirements of the international market. A process that tracks the journey of minerals from extraction at the mine, through processing and ultimately to the end consumer, mineral traceability has gained importance with the adoption of international mechanisms that take into account the emissions embedded in products, such as the European Carbon Border Adjustment Mechanism, which came into effect in 2026 and applies charges to products such as iron, steel, aluminum, cement, fertilizers and hydrogen.

Following Europe, the regulatory trend is expected to expand across major economies committed to decarbonization. According to experts, only auditable data can ensure that Brazil’s competitive advantages, such as high-purity ore and a clean energy matrix, are properly valued by global buyers, unlocking low-carbon production and boosting sales in international markets. “Traceability is becoming an increasingly important tool for accessing markets that require information not only about the origin of minerals, but also about extraction practices, socio-environmental impacts and carbon emissions. It makes it possible to demonstrate not only where the ore came from, but also under what conditions it was produced,” says Larissa Rodrigues, Research Director at Instituto Escolhas.

Experts point out that Brazil has natural advantages for producing so-called “green iron” (low-carbon minerals), including a clean and renewable energy matrix, abundant water resources and high-quality iron ore reserves.

Brazil Iron plans to invest US$5.7 billion to launch the Green Iron Project, an integrated mining, mineral processing and transformation project in the Chapada Diamantina region of Bahia, with annual production of 10 million tonnes of high-purity iron ore concentrate. The mining company is developing operational data traceability systems covering the entire product journey, from mineral extraction through transportation and delivery to destination ports. “Monitoring consolidates verifiable information on the origin of mineral inputs, energy consumption, the associated carbon footprint, qualified supplier registration and compliance with socio-environmental requirements,” highlights Emerson Souza, Vice President of Institutional Relations at Brazil Iron.

This digital control system will undergo independent and periodic audits. The company has already established a partnership with Bureau Veritas to develop a verification plan ahead of the start of production, expected by 2031. The low-carbon steel will be exported to Asia, with a focus on Japan, as well as to Europe and the United States.

“Traceability is particularly important for small and medium-sized mining companies, since large mining companies already have more vertically integrated production systems,” notes Pablo Cesário, Interim Chief Executive Officer of the Brazilian Mining Institute (Ibram). In the iron market, major mining companies use digital systems for quality control and logistics to comply with international standards.

Technology companies such as Metso provide systems used by mining companies to track ore from the mine to the processing plant, correlating quality parameters. The technology uses tags inserted into the ore flow to track specific batches throughout mining and mineral processing operations. “As the European Union introduces Digital Product Passports, mining companies will need more reliable information about the origin of materials. Technology provides a foundation for future traceability initiatives and for generating reports on low-carbon value chains,” says Laender Azevedo, Automation Solutions Manager at Metso.

Geraldo Iran, Regional Director of the Brazilian Association of Metallurgy, Materials and Mining (ABM), says that promoting traceability requires the availability of clean energy at competitive prices and legal certainty based on clear rules, as well as tax incentives for the implementation of low-carbon technologies.

According to Brazil’s National Mining Agency (ANM), some recycling companies and cooperatives in the country already use traceability systems. These initiatives, however, remain fragmented and employ different methodologies. Some track the physical origin of products, while others focus on environmental attributes or internal controls within the supply chain.
According to the agency, Bill No. 2,780/2024 — approved by the Chamber of Deputies and currently under consideration by the Federal Senate — which provides for the creation of a traceability system for critical and strategic minerals, could help demonstrate lower-emission production, increase visibility of the advantages of Brazil’s energy matrix and enhance transparency with buyers.

Source: Mining Sector Seeks Traceability to Demonstrate Sustainable Practices and Gain Access to Global Markets