This study discusses the impact of the packaging sectoral agreement in the Brazilian recycling chain and packaging design under the principles of Extended Producer Responsibility (EPR). The study uses document analysis and interviews with multiple stakeholders, including representatives of the public sector, private sector, and recycling cooperatives. Content analysis was used to analyze and interpret the data collected. The findings point to expanding the collection of recyclables, with potential benefits for income generation in cooperatives, but with no impact on the process of effectively developing more sustainable products and packaging. The absence of individual targets provides an alternative for companies to comply with the legislation through very reduced costs. The proposal related to managing packs of different features equally, and the packaging development paradigm that focuses on competitiveness at the expense of recyclability, commits the results promised by the sectoral agreement.