Pernambuco decrees tax benefits for the dairy basin

Pernambuco decrees tax benefits for the dairy basin
Pernambuco decrees tax benefits for the dairy basin
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The Government of Pernambuco, through the Finance Secretariat, announced, last Thursday (28/03), in the Official Gazette, decree 56.323 for the granting tax benefits on operations with milk and its derivatives for the local industry. The action should stimulate the production and sale of milk and its derivatives, generating employment and income and a quality product on the tables of Pernambuco residents.

“The dairy basin is an important asset of our agriculture and our economy. I want to tell all producers in Pernambuco that our management is attentive to their demands. With this decree, we show that the work is serious, it is of attention , is a stimulus for our women and our men in the countryside. The dairy basin and the local dairy production arrangement in the State will take a leap in quality because we are together, side by side, making the best choices to make this happen” , says governor Raquel Lyra.

The first measure adopted by state management follows the example of the benefit given by the state of Ceará, where a presumed credit of 95% is granted on the outstanding balance resulting from the exit of goods processed with milk. The action will be replicated in Pernambuco, as long as 90% of the input purchased is from the Pernambuco producer, made in the local industry. This benefit is conditional on manufacturers purchasing milk from rural producers in Pernambuco.

The second initiative, in accordance with the state decree, offers exemption from the Tax on the Circulation of Goods and Services (ICMS) on internal shipments of products derived from milk, such as cheese, cream cheese and dulce de leche, made by rural producers, resulting from artisanal manufacturing.

According to the Secretary of Finance, Wilson José de Paula, Governor Raquel Lyra, sensitive to the demands of producers in the dairy basin, is authorizing a series of benefits with the objective of stimulating integration, growth of the production chain and local consumption. “The ICMS exemption helps to strengthen the dairy sector, making Pernambuco more competitive and on par with neighboring states”, highlights the manager.

Among the measures that are still being planned, two are of importance for the sector, the exemption in the interstate operation of fresh milk and the exemption of rural producer butter. For fresh milk, the proposal aims to authorize the state of Pernambuco to grant exemption in interstate operations to Sergipe and Alagoas with natural milk. In view of this, the Government of Pernambuco awaits Alagoas’ request for approval of the Agreement proposal presented at the National Council for Financial Policy.

The State of Pernambuco is one of the largest milk producers in the Northeast, with 27 municipalities that form the dairy basin from Agreste to Sertão, totaling around 60 thousand producersresponsible for the production of approximately 2.3 million liters per day.

The information is from Diário de Pernambuco, adapted by the MilkPoint team.


The article is in Portuguese

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