Brazil maintains tax cut on glyphosate imports

Date:10-24-2024

The Brazilian government has maintained the 3.8% import tax on glyphosate from countries outside Mercosur, the South American economic bloc. 

The Executive Committee of the Foreign Trade Chamber (Gecex) approved maintaining the reduction of the Common External Tariff (TEC) from 10.8% to 3.8% for the most widely used herbicide in agriculture.

According to a decision published by the agency linked to the Ministry of Development, Industry, Commerce and Services (MDIC), the import tax reduction will be valid for six months. Agrochemical manufacturer Syngenta requested that the lower TEC for glyphosate and monoisopropylamine salt be maintained.

The request received support from the agricultural sector, which publicly expressed its favorable position to the Ministry of Agriculture (MAPA).

Ammonium Nitrate

Gecex also maintained a zero Common External Tariff for ammonium nitrate imports from outside Mercosur. The Brazilian Chemical Industry Association (Abiquim) had requested a return to the previous rate of 15% but ended up withdrawing the request.

Organizations representing rural producers and the fertilizer industry opposed increasing the import tax on ammonium nitrate. They argued that the decision would increase the production costs of this input, which is widely used in fertilizing Brazilian crops.

Sodium Chlorite

Gecex/Camex also raised the import tariff on sodium chlorite, which is used in water treatment and bleaching and peeling textile fibers, cellulose pulp, and paper. The tariff increased from 9% to 10.8%.

(Editing by Leonardo Gottems, reporter for AgroPages)