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Union proposes tax on agrochemicals in top soybean producing state in Brazil
Nov. 28, 2016
The Union of Agricultural, Agrarian and Forest System Workers of the Brazilian state of Mato Grosso proposed a fee for the agrochemicals in the state. The measure has a large impact in the Brazilian farm business. Mato Grosso is the second largest agricultural producer with 13.9% of the national farm revenue, according to the Brazilian Institute of Geography and Statistics.
The goal of the union is to control the use of agrochemicals in the state and propose an enforcement tax for the use of agrochemicals, residues and related components. The tax on these products would be charged at source, similar to the system adopted for seeds.
The proposal was presented by the Agricultural Protection Institute of the State of Mato Grosso and will be forwarded to the State Assembly. A public audience on the issue would be held in the coming months. However, the institute will be cautious about the legality and visibility of the charge, as the prices of the agrochemicals sector show a wide range, which makes it harder to establish a unique taxation.
“The Coordinator of Health and Vegetable Protection will be available to deepen this analysis on the issue, because I don’t find any allowance to enable the proposal. After this study, we will reevaluate the proposal and decide on how to forward the measure,” Guilherme Nolasco, the president of the Institute, said.
Source: AgroNews
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