The Brazilian government has announced the elimination of import taxes on several essential food items to combat rising food prices and counter recent U.S. trade measures.
Vice President Geraldo Alckmin presented a plan to remove import taxes on several common grocery items.
The decision aims to help families afford food as prices continue to rise.
O governo federal anunciou um pacote de medidas para baratear os preรงos dos alimentos nesta quinta-feira (6). O vice-presidente Geraldo Alckmin (PSB) afirmou que o governo zerou os tributos sobre a cesta bรกsica e fez um apelo para que os estados zerem tambรฉm o ICMS. #CNNArena pic.twitter.com/2M0ologznQ
โ CNN Brasil (@CNNBrasil) March 6, 2025
Products with No Import Taxes
Esses sรฃo alguns dos produtos que passam a ter imposto zero sobre importaรงรฃo, conforme anรบncio feito hoje pelo vice-presidente Alckmin (PSB). Medida deve entrar em vigor nos prรณximos dias e tem o objetivo de baratear o preรงo dos alimentos, uma das principais queixas da populaรงรฃo. pic.twitter.com/M2KcpbGX8j
โ Saulo Vale (@SauloVale) March 6, 2025
Here are the products that will become cheaper with no import taxes:
- Meat (previous tax 10.8%)
- Coffee (previous tax 9%)
- Sugar (previous tax 14%)
- Corn (previous tax 7.2%)
- Sunflower Oil (previous tax 9%)
- Olive Oil (previous tax 9%)
- Palm Oil (import limit raised to 150,000 tonnes)
- Sardines (previous tax 32%)
- Cookies (previous tax 16.2%)
- Pasta (previous tax 14.4%)
Purpose of the Measure
The government wants to reduce inflation, making essential food items more affordable. Last year, food prices rose significantly, causing families to struggle with daily expenses.
Meat prices alone increased by over 20% in 2024, strongly impacting overall inflation.
Additional Government Actions
The Brazilian government also suggested states remove the ICMS tax on basic grocery items. Federal taxes on these products have already been removed. Other important actions include:
- Improving national food stocks through Conab (National Supply Company)
- Making it easier to inspect and sell products like milk, eggs, and honey locally
Economic Impact
According to Finance Secretary Guilherme Mello, removing these import taxes will not significantly impact government revenue. Imports of these products have been limited due to higher taxes. Lowering taxes will encourage more imports and competition, benefiting consumers with lower prices.
When Will the Changes Begin?
Vice President Alckmin stated the new measures will start within days. The exact date depends on approval from government agencies, which is expected soon.
Conclusion
Brazilโs government hopes these new tax measures will quickly reduce food prices. Families facing high grocery costs can expect relief once these changes take effect.
