The largest share, of R$400.5 billion, will be used to finance corporate agriculture, a value 10% higher than the previous package
The Minister of Agriculture and Livestock, Carlos Fávaro, stated this Thursday (June 27, 2024) that the 2024/2025 Harvest Plan will be worth R$475.5 billion. The package would be launched last Wednesday (June 26), but was postponed and will be officially announced by the president Luiz Inácio Lula da Silva (PT) next Wednesday (Jul 3).
In an interview with Value, Fávaro stated that in the new plan, corporate agriculture will have R$400.6 billion in credit. Of this amount, R$293.9 billion will be for funding and marketing and R$106.7 for investments. The package aimed at family farming will have R$74.98 billion.
The Lula government had been promising a record-breaking Harvest Plan, above the R$435.8 billion of 2023/2024 (R$364.2 billion for corporate agriculture and R$71.6 billion for family agriculture), which had already been the largest in history. For the next harvest, the agribusiness sector expected a package of over R$500 billion, but the figure will not be reached.
In the interview, Fávaro stated that the cost of interest equalization under the Safra Plan will increase by 23%, to R$16.7 billion. This is the portion of the interest that will be subsidized, that is, paid for by the government, which makes credit for the sector cheaper.
For corporate agriculture, the National Treasury will apply R$6.3 billion in interest equalization, compared to R$5.1 billion in the current harvest. For family agriculture, the government will allocate R$10.4 billion to reduce interest. It was R$8.5 billion in the current harvest.
The size of the new plan, the 2nd of the Lula 3 government, will be a nod to ruralists, a sector that is not so sympathetic to the president and went hand in hand with Jair Bolsonaro (PL) in the last government.
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