The executive management committee (GECEX) of the foreign trade chamber (CAMEX), decided to zero the Common External Tariff (TEC) for the import of corn and soybeans and derivatives from countries outside of Mercosur by the end of this year. The objective is to guarantee the internal supply and competitiveness of the Brazilian meat segment, which faces a substantial increase in costs due to the high prices of these grains, which are essential inputs for poultry and pork feed. GECEX is suspending the 8% tariff on soybean and corn imports, 10% tariff on soybean oil imports, and 6% tariff on flour and pellet imports. The exemption will take effect seven days after the publication of the GECEX resolution. It will be valid for imports of corn grains and soybeans (even crushed) and will also apply to the oil, bran, and pellets of the oilseed. Maximum purchase quotas have not been established. In October last year, CAMEX had already zeroed TEC for imports of soy and corn. Even with record soybean and corn harvests in this 2020/21 season, domestic prices continued to rise because of strong external demand and the continuation of the devaluation of the real against the dollar.
Source: Datamar News