A surprise tax change in Brazil is causing significant disruption in the agricultural sector, drawing criticism from major crop traders and industry groups. The new rules, which affect tax credits on inputs and services purchased for export, cannot be offset with other federal taxes. This change could reduce the product value received by producers by 4-5%. The tax changes have led to slow soybean farmer selling as industry players analyze the impact. Despite Finance Minister Fernando Haddad's assertion that the new rules do not have a short-term impact other than transparency, the agricultural market has been volatile. The industry's lobbying efforts to overturn the changes are ongoing. Haddad also mentioned that more budget blocks may be necessary this year due to the fiscal outlook.
Brazil Finance Minister Fernando Haddad expressed concern about the country’s fiscal outlook during a Friday afternoon meeting with investors, tanking assets and sparking a public attempt to contain the damage https://t.co/2dAkRyLlhw
Brazil Finance Minister Fernando Haddad expressed concern about the country’s fiscal outlook during a Friday afternoon meeting with investors, tanking assets and sparking a public attempt to contain the damage https://t.co/JapIStYzMQ
⚠️ BRAZIL'S HADDAD: WE MAY HAVE TO MAKE MORE BUDGET BLOCKS THIS YEAR
⚠️ BRAZIL'S HADDAD: **NEW RULES DON'T HAVE A SHORT-TERM IMPACT OTHER THAN TRANSPARENCY **NEW RULES SEEMED TO BE FAIR, MANY SECTORS DIDN'T NEED SUBSIDIES **WITH FIGURES IN HAND, I BELIEVE CONGRESS WILL MAKE THE BEST DECISION
⚠️ BRAZIL FINANCE MINISTER HADDAD: NEW RULES FOR USE OF TAX CREDITS DO NOT AFFECT INDUSTRIES
MORNING MARKET REVIEW: Soybeans, corn take breather after Brazilian tax change. Wheat tumbles for its eighth straight day. Today's commentary: https://t.co/x1O00781Ug ✅ Sign up for daily market newsletters from the Farm Futures team: https://t.co/kzR9IrUOlP https://t.co/DTWuF9CJHU
Another day of slow soybean farmer selling in Brazil. The big guys were out of the market for the second day, still analyzing the tax changes and the impacts on their pricing spreadsheet. The changes are already in effect, but the industry's lobbying efforts to overturn the… https://t.co/8smEjrs9RG
Brazil’s ABOIVE says LuLa’s overreach will impact country’s export operations as tax credits on inputs & services purchased for export cannot be offset with other federal taxes. Notes tax credit could impact producers product value received by 4-5%. #Brazil 🇧🇷 #soybeans 🌱…
After 7 brutal days corn and beans finally rally. Both posting one of their best days all year year long. Corn had a phenomenal close at the highs. Engulfing the past 4 closes. On the other hand, despite continued worries about the Russian wheat crop, harvest pressure led to…
A surprise tax change in agriculture powerhouse Brazil is disrupting business and drawing the ire of groups representing some of the world’s top crop traders. With @clacouto @gersonjr https://t.co/8XP4nmgG2M via @markets