PR: Government proposes tax changes to contain imports of powdered milk in Brazil

Published 2024년 4월 9일

Tridge summary

The Government of Paraná has taken steps to protect its dairy industry from the influx of imported powdered milk and mozzarella cheese by modifying ICMS tax regulations. A new decree imposes a 7% ICMS tax on these previously exempt imports, and a bill is proposed to further adjust ICMS legislation, aiming to support local producers affected by increased imports from Mercosur countries. Additionally, the agriculture and livestock sector has suggested to the federal government that the 2024/25 Harvest Plan include financial relief measures for family farmers, such as postponing loan payments or refinancing debts. These initiatives are part of efforts to maintain the competitiveness of Paraná's dairy sector and address the financial challenges faced by family farmers.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The Government of Paraná took two measures this Monday (8) to protect the state's dairy producers in the face of competition from the import of powdered milk and mozzarella cheese. Both measures involve changes in the rules of the Tax on the Circulation of Goods and Services (ICMS), a demand from the productive sector to protect local production in the face of the significant increase in milk imports since 2022. The first decision was the publication of Decree 5,396/2024, which changes the ICMS charge on the import of the two products. Furthermore, the Government sent to the Assembly a bill to amend the ICMS legislation (State Law 13,212/2001) on the import of powdered milk and mozzarella cheese. Until then, the import of any dairy product in Paraná was completely exempt from ICMS. With the changes, the import of both products will be subject to ICMS taxation. In this way, both imported powdered milk and mozzarella cheese start to pay an ICMS rate of 7% – the minimum amount for ...

Source: NoticiasAgricolas