ANNOUNCEMENT 25 Apr 2019

The Brazilian Government increased the budget for Funcafé credit lines.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

Ministry of Agriculture, Livestock and Farming. Ministério da Agricultura, Pecuária e Abastecimento. Notícias "CMN aprova distribuição de recursos do Funcafé para 2019" de 25 de abril de 2019. Available at: http://www.agricultura.gov.br/noticias/cmn-aprova-distribuicao-de-recursos-do-funcafe-para-2019

Inception date: 25 Apr 2019 | Removal date: 31 Dec 2019
Still in force

State loan

On 25 April 2019, the National Monetary Council (CMN by its acronym in Portuguese) approved BRL 5.071 billion (over USD 1.279 billion at the time of the announcement) for credit lines enclosed in the Fund for the Defense of the Coffee Economy ("Funcafé") for 2019. The new budget represents an increase when compared to 2018 when the total budget was BRL 4.96 billion (over USD 1.25 billion at the time of the 2019's announcement).

The credit lines were distributed as it follows:

  • up to BRL 1.3 billion for funding;
  • up to BRL 1.962 billion for storage;
  • up to BRL 1.149 billion for Coffee Acquisition Financing (FAC); 
  • BRL 10 million for the recovery of damaged coffee plantations;
  • up to BRL 650 million for working capital for the soluble coffee industry and for production cooperatives.

These amounts apply for the 2019 harvest.

AFFECTED SECTORS