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The Minister of Agriculture, Tereza Cristina, signaled that there will be an exemption from PIS/COFINS for imported corn intended for animal feed. In a hearing with the Brazilian Association of Pig Breeders (ABCS), the minister said that this tax waiver will be confirmed by the end of the month.
The information was given in response to a demand from ABCS, according to which the rise in production costs, driven mainly by the prices of corn and soybean meal, leaves negative margins in the year 2021, in all major regions. Tereza Cristina said she is working to remove federal taxes on corn imports.
“In a meeting with the Ministry of Economy team to reinforce this need, I received an optimistic response, as the Federal Revenue Service gave us support, and everything leads us to believe that it will make the tax waiver, and we are expected to publish it by the end of the month”, promised the minister.
The president of the Brazilian Association of Pig Breeders (ABCS), Marcelo Lopes, recalls that, “due to the failure of the corn harvest, no reduction in costs is expected in the coming months. On the other hand, despite breaking a record for pork exports, due to the increase in production, the imbalance between supply and demand in the domestic market has put downward pressure on prices paid to producers”.
The president of ABCS recalled that this is a request already requested from MAPA in the first half of this year. The suspension of PIS/COFINS charges on imported grains in transactions carried out for animal feed is especially important for organizations that do not operate in the Drawback modality and for individuals registered as rural producers.
By: Leonardo Gottems | agrolink
