Minister Paulo Teixeira announced the Crop Plan with lower rates for the sustainable production of healthy foods
The Minister of Agrarian Development, Paulo Teixeira, announced this Wednesday (June 28, 2023) that family farmers will have reduced interest rates from 6% to 5% per year for the purchase of agricultural machinery and implements through the Mais Alimentos Program. The line is part of the Crop Plan 2023/2024 for family farming launched this 4th.
A total of R$ 71.6 billion will be allocated to rural credit for Pronaf (National Program for Strengthening Family Agriculture). Added to other food purchase actions and technical assistance, the amount for the area reaches R$ 77.7 billion for the segment.
“We need to bring more machines and equipment to work in the fields for family farming. That’s the challenge. And the reduction of the interest rate to 5% per year for the purchase of agricultural machinery and implements produced in Brazil. And we want the university to help us bring this technology to Brazil and for companies to bring the production of these smaller machines to Brazil.“, said Teixeira during the launch of the plan.
The plan also reduces to 4% per year interest for those who produce food such as rice, beans, cassava, tomatoes, milk and eggs. Family farmers who opt for the sustainable production of healthy foods, with a focus on organics, bioeconomy or agroecology, will have even more incentives, with interest of just 3% per year on funding and 4% on investment.
Low-income producers will have credit extended by Pronaf B. The annual family income will be increased from R$23,000 to R$40,000 and the credit limit from R$6,000 to R$10,000.
Women who produce in the countryside will have a specific line, Pronaf Woman, with a financing limit of up to R$ 25,000 per year and an interest rate of 4% per year for women farmers with annual income of up to R$ 100,000.
LARGE FARMERS
On Tuesday (June 27), the government launched the Crop Plan for large and medium-sized farmers, with R$ 364.22 billion in resources to finance production, also the largest in history. On this 4th, Teixeira stated that family and business agriculture are complementary.
“There has never been a contradiction between business farming and family farming. They are complementary. But corporate agriculture has high productivity and is doing very well. And Brazil benefits a lot from this. But family farming has many specific issues that require special treatment.“, said the minister.
Watch the entire launch of the Crop Plan for Family Agriculture (1h30min):
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