Lula announces Crop Plan of R$ 364 billion to rural producers

The amount is a record in a nod to the sector; sustainable practices will yield a lower interest


President Lula announced a record amount for financing the agricultural activity of medium and large producers through the Safra Plan.

For the 2023/2024 cycle, it will be BRL 364.22 billion at a time when the government is trying to improve the relationship with the sector, more appreciative of former president Jair Bolsonaro.

The nod was clear during the opening ceremony when Lula stated that anyone who thinks that the government would treat agribusiness "in an ideological way" is mistaken.

President Luiz Inácio Lula da Silva launches the Safra Plan at the Palácio do Planalto alongside Vice President Geraldo Alckmin and Senate President Rodrigo Pacheco - Gabriela Biló/Folhapress

The minister of the area, Carlos Fávaro, hopes to reap the rewards: "Over the next six months, the president can already attend any event [in the sector] and he will be well received."

Interest rate discounts were also announced for producers who adopt sustainable practices. This incentive will be 0.5 percentage points on the loan rate for funding, and also 0.5 points for those who are in the Rural Environmental Registry.

This Wednesday (28) the PT ( Workers' Party) administration should launch the branch of the plan for family farming. Government members estimate that the total exceeds BRL 420 billion, compared to BRL 340.9 billion from Bolsonaro’s package in the previous harvest.

Translated by Cassy Dias

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