Upcycling—an innovative practice that transforms discarded materials into higher-value products—has become an emerging component of sustainable development strategies in Latin America. It advances ecological goals by reducing reliance on virgin resources and supports inclusive economic models through grassroots entrepreneurship, especially within informal sectors and marginalised communities. 

However, the region's legal and regulatory environment governing intellectual property (IP) often lacks the flexibility needed to accommodate such circular and creative practices. Rooted in linear economic paradigms, prevailing IP frameworks can obstruct upcycling by enforcing restrictive protections over the transformation, reuse, and resale of protected goods. This misalignment between IP law and the realities of circular innovation creates uncertainty for creators, limits the growth of environmentally responsible enterprises, and undermines efforts to develop equitable, knowledge-based economies.

This research project seeks to critically examine the interaction between upcycling, IP law, and competition policy across key Latin American jurisdictions. Through a comparative legal analysis and case-based methodology, the study will identify regulatory bottlenecks, legal ambiguities, and opportunities for reform that support both innovation and sustainability. 

By highlighting the disconnect between normative IP structures and emerging circular practices, the research aims to inform a more inclusive and adaptive legal landscape—one that fosters creativity, facilitates responsible resource use, and encourages the participation of historically underrepresented actors in innovation ecosystems. The findings will serve as a foundation for future advocacy, capacity building, and collaborative regulatory dialogue at the regional level.