Brazil: Paraná reduces ICMS for yerba mate to increase competitiveness

The Government of Paraná announced a measure that aims to strengthen the competitiveness of Paraná's yerba mate in the national market. On Wednesday (18), Governor Carlos Massa Ratinho Junior signed Decree No. 8,402, which grants a presumed credit for the Tax on Circulation of Goods and Services (ICMS) for interstate sales of processed yerba mate. The measure reduces the tax burden on one of the main products of the state's economy, making it more competitive in the domestic market. The presumed credit will be granted for yerba mate already processed by the establishment itself, as long as it is packaged in a package of up to 1 kg. The credit will be 5% on sales to states with an interstate tax rate of 12% and 2.9% for those with a tax rate of 7%. With this action, Paraná, the largest national producer of yerba mate, seeks to reduce the tax burden for local producers, increasing the competitiveness of the sector. In 2023, the state extracted 425.8 thousand tons of yerba mate. The ...