Brazilian cocoa more competitive: new tax regime could boost production

The Agriculture, Livestock, Supply and Rural Development Committee of the Chamber of Deputies approved a bill that establishes a special tax regime to encourage the implementation of cocoa processing plants in the country. The text provides that, for five years, participants in the Special Incentive Regime for the Development of the Primary Cocoa Pulp Processing Industry (Recacau) will have the requirement of federal taxes suspended on the purchase of machinery, equipment and construction materials. Companies that provide services related to the construction of cocoa processing plants will also be entitled to the benefits. Rural producers, including those organized in associations or cooperatives, who have projects to create a processing plant may participate in Recacau. The rapporteur of the Bill (PL – 1892/22), Deputy Thiago Flores (Republicanos-RO), accepted an amendment to allow existing primary cocoa processing plants to also participate in the program. Flores stated that the ...