Brasília – Brazil’s government announced a 10% reduction in import tax rates on 6,195 products. According to the Ministry of Economy, the purpose of the measure is to alleviate the impacts arising from the pandemic and the Russia-Ukraine War, especially on rising prices.
Among the products included in the tariff reduction, the Ministry mentioned beans, meat, pasta, biscuits, rice and construction materials. Most products purchased abroad will see the tax reduction. The measure was announced on Monday (23) night in a press conference with the economic team of the Ministry. The measure represents an additional tax cut as in last November, the government had already reduced the tariff rates by 10%.
“Today’s measure, added to the 10% reduction already made last year, brings the Brazilian tariff level closer to the international average and, in particular, to the countries of the Organization for Economic Cooperation and Development (OECD),” the secretary of Foreign Trade, Lucas Ferraz, said in a note to the press. The measure is temporary and will run till the end of 2023.
An estimate presented by the economic team of the government points out that the measure will have an accumulated impact of BRL 533.1 billion (USD 110) in gross domestic product (GDP) and BRL 376.8 billion (USD 77.7) in investments by 2040.
Translated by Guilherme Miranda
