INSQ (REACH Brazil): Enforcement and Penalties

1. Competent authority and INSQ enforcement structure

2. Scope of enforcement

3.  Enforcement procedures

4. Applicable penalties

5. Company responsibilities

6. Preparation and best practices

7. Conclusion

8. Frequently Asked Questions about INSQ Enforcement and Penalties

Law No. 15.022/2024 established the National Inventory of Chemical Substances (INSQ), creating the foundation for Brazil’s new regulatory framework for the management of industrial chemical substances.

Inspired by international regulatory models such as the European REACH regulation, the INSQ introduces notification obligations, transparency requirements, and information management responsibilities for manufacturers and importers.

In addition to the technical obligations related to substance notification, it is essential to understand how INSQ enforcement will take place and what penalties may apply, as well as the possible legal consequences in cases of non-compliance.

Based on Law No. 15.022/2024, this article outlines the general framework of INSQ enforcement and penalties, highlighting aspects that still depend on secondary regulatory provisions.

Competent authority and INSQ enforcement structure

Law No. 15.022/2024 assigns the Federal Executive Branch responsibility for regulating, implementing, and operationalizing the National Inventory of Chemical Substances (INSQ), including the definition of the competent authority responsible for its management.

Details related to the administrative structure, chemical substances enforcement procedures, and coordination with other public authorities will depend on the publication of the implementing decree.

Scope of enforcement

According to Law No. 15.022/2024, INSQ enforcement will cover, among other aspects:

1. Compliance with notification obligations

• Notification of chemical substances manufactured or imported according to the terms and deadlines defined in the regulations.

• Updating information when relevant changes occur in the originally submitted data.

2. Accuracy and consistency of submitted information

• Technical data submitted to the INSQ system.

• Information related to hazard classification.

• Indication of declared uses and volumes.

3. Compliance with risk management measures

• Compliance with possible restrictions.

• Observance of additional obligations applicable to specific substances.

 Enforcement procedures

Law No. 15.022/2024 establishes the possibility of conducting INSQ enforcement activities and applying penalties in cases of non-compliance with the established obligations.

Specific procedures such as document audits, requests for clarification, administrative inspections, or cross-checking data with other governmental databases will depend on secondary regulations.

Enforcement may include document analysis and verification of the consistency of submitted information, particularly in digital environments, considering that the INSQ will be operated through an electronic system.

Applicable penalties

The law establishes that failure to comply with its provisions will subject the offender to the administrative sanctions provided for in the applicable legislation.

Within the context of INSQ enforcement and penalties, the measures may include, depending on the regulatory framework and specific regulations:

• warning

• Fines

• Suspension of activities

• Restriction or prohibition of the manufacture or import of substances

• other applicable administrative sanctions
  

The criteria for determining the severity and the amount of penalties will depend on complementary regulations.

Additionally, providing false information may result in administrative, civil, and, when applicable, criminal liability.

Company responsibilities

The INSQ establishes a model of regulatory self-responsibility, in which manufacturers and importers are responsible for the quality, integrity, and updating of the information submitted to the system.

This requires companies to:

• Maintain organized technical supporting documentation

• Ensure consistency between composition, classification, labeling, and Safety Data Sheets (SDS)

• Implement internal procedures for periodic review and updating of information

The absence of proper regulatory governance may significantly increase the risk of sanctions within the context of INSQ enforcement.

Preparation and best practices

Even before the formal obligation to submit notifications — expected after the implementation of the electronic system and currently estimated for 2027 — internal preparation is essential.

In this context, specialized digital tools can support companies in organizing and standardizing the technical documentation required by Brazilian legislation.

Solutions such as eQgest assist in the creation and updating of Safety Data Sheets (SDS) in accordance with ABNT NBR 14725:2023, as well as in generating labels aligned with GHS criteria.

Automating these processes contributes to greater technical consistency, document traceability, and reduced risks of regulatory inconsistencies.

Conclusion

The INSQ enforcement and penalties established under Law No. 15.022/2024 demonstrate that the new system represents a higher level of regulatory requirements for the Brazilian chemical industry.

Compliance with legal obligations will require technical organization, document consistency, and the structuring of internal processes.

In a context of increasing regulatory requirements and greater international transparency, structured internal processes and organized documentation are becoming competitive advantages. Regulatory governance is becoming an integral part of corporate strategy.

Companies that begin investing now in consolidating their technical databases, updating their Safety Data Sheets, and standardizing labeling will be better prepared for the new regulatory environment and for operating in increasingly demanding markets.

For companies that need to organize their Safety Data Sheets (SDS), standardize GHS labeling, and structure regulatory processes aligned with INSQ requirements, specialized digital solutions can significantly simplify these tasks.

eQgest allows companies to generate and update SDS in accordance with ABNT NBR 14725:2023, ensuring technical consistency, document traceability, and greater regulatory compliance.

Discover how eQgest can help your company prepare for INSQ.

Frequently Asked Questions about INSQ Enforcement and Penalties

1. What is the INSQ established under Law No. 15.022/2024?
   The INSQ (National Inventory of Chemical Substances) is the Brazilian system created to register and manage information on chemical substances manufactured or imported in the country.

2. Which companies must comply with INSQ obligations?
   Manufacturers and importers of industrial chemical substances are responsible for notifying and updating the information required by the regulations.

3. What penalties may apply in case of non-compliance?
   Law No. 15.022/2024 provides for warnings, fines, suspension of activities, and restrictions or prohibitions on the manufacture or import of substances, according to specific regulations.

4. When is the INSQ system expected to enter into operation?
   The implementation of the electronic system is expected to occur before notification obligations become mandatory, currently estimated for 2027.