Brazil’s government is removing import taxes on essential food products such as coffee and meat to lower prices and enhance local production. The initiative is designed to benefit citizens by improving access to basic food items and stimulating the economy. Changes in inspection regulations will also allow local products to be sold nationally, fostering agricultural growth.
The Brazilian government has announced the removal of import taxes on essential food products aimed at lowering prices for consumers. The targeted items include coffee, olive oil, sugar, corn, sunflower oil, sardines, cookies, pasta, and meat. This decision was communicated by Vice President Geraldo Alckmin, who also oversees industry and trade, following discussions led by President Lula with various ministers, including those from agriculture and finance.
Alckmin stated, “These are measures to reduce prices, to benefit citizens so that they can maintain their purchasing power and have their basic food basket at a better price.” He emphasized that this initiative is expected to invigorate the production and commerce sectors while allowing the government to forgo certain tax revenues for the sake of reducing consumer prices.
The current import tax rates on these food items in Brazil range from 7.2% for corn to 32% for sardines. In addition, the government plans to expand the import quota for palm oil from 60,000 to 150,000 metric tons. Furthermore, Brazil is set to modify its inspection rules to allow the Municipal Inspection Service to operate on a national scale, thus enabling locally certified products to be sold throughout the country.
Minister Carlos Fávaro highlighted that these adjustments would create more opportunities for Brazilian farmers, stating, “For one year, we will apply the effects of the SIM to the entire Brazilian territory… without any loss in food quality.” This adjustment will affect a range of products, including liquid milk, honey, and eggs.
In an effort to strengthen domestic food production, the government plans to invest in regulatory stocks through the National Supply Company (Conab). Minister Paulo Teixeira noted, “We will have a set of products that will be subsidised to offer to Brazilian society, focusing on the basic food basket.”
In summary, the Brazilian government is eliminating import taxes on essential food items to lower costs for consumers and boost local production. Significant products affected include coffee, corn, and meat, with tax rates varying widely. Additionally, changes in inspection regulations will allow regional foods to be sold nationwide, while investment in domestic stock will support agricultural producers. These measures aim to enhance food accessibility and stimulate economic activity in Brazil.
Original Source: www.just-food.com
