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The Sindarroz/MG trade union in the Brazilian state of Minas Gerais has asked the government to extend the duty-free policy on grain imports from countries other than Mercosul.
rice industry said grain purchased from India had problems during the logistics delivery phase and products could not reach Brazil within the duty-free period.
Brazil's Sao Paulo newspaper reported on November 26th that the country's economy ministry had introduced a tariff-relief policy in Response to a rise in rice prices in the country.
, by December 31, 2020, rice import tariffs will be zero and duty-free quotas will be 400,000 tons.
, the Rice Industry Union in Minas Gerais is trying to extend the period until February 28 next year.
, we are facing a shortage of containers, " said Jorge Tadeu Meirelles, president of the U.S.-china Trade Union.
said only 8,000 of the 25,000 tonnes of rice bought from the Indian market had arrived in Brazil and the rest were still being transported by sea, with about 65 days to dock at Brazilian ports, which would exceed the duty-free deadline.
the situation, the union, with the support of the state government, sent letters to the Brazilian Chamber of Foreign Trade (Camex) and the Ministry of Agriculture.
's policy on tax changes will depend on the outcome of Thecamex Executive Board's (Gecex) deliberations.
the next regular meeting of Gecex is scheduled for December 16, according to the Camelx website.
, the Brazilian Rice Industry Association (Abiarroz) said that enterprises in Minas Gerais were not members of the association and that Abiarroz had not yet received applications from members of the organization to extend the tax exemption.
, executive director of Abiarroz, said: "There are companies that are asking for an extension of the tax exemption, but this is not the case with us (the association).
the third week of November, Brazil's average imports of shelled rice increased by 291 percent from November 2019, with an average of 2,169 tons imported per day, according to the National Bureau of Statistics.
for shelled rice, purchases increased by 146.8 per cent to 4,928 tonnes/day.
Viana, an analyst at Safras and Mercado, a consultancy, commented that the entry of these products did not mean a sharp fall in grain prices in Brazil, but that they could limit price increases to some extent.
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