Chamber Committee approves Rural Producer Statute

Proposal provides for free technical and legal assistance, a credit guarantee fund, and contract review for farmers

17.09.2025 | 14:21 (UTC -3)
Cultivar Magazine, based on information from the FPA Agency

Rural producers will have access to new support instruments following the approval of the Rural Producer Statute (Bill 4.588/2021) by the Agriculture Committee of the Chamber of Deputies. The bill establishes the National Policy for the Protection of Rural Producers. The measure guarantees free technical and legal assistance, creates ombudsman offices, encourages alternative dispute resolution methods, and facilitates the logistics of product distribution.

The text guarantees the right to review contractual clauses to maintain economic and financial balance. It also establishes a Credit Risk Guarantee Fund for micro and small farmers. The report defines a small producer as one with annual gross revenue of up to R$4,8 million, in line with the Simples Nacional (National Simples).

The proposal prohibits tied sales by financial institutions within 30 days of obtaining a rural loan. It allows for complaints to be filed with CADE in cases of contractual abuse or market concentration. It adjusts the inflation index to the IPCA (Brazilian Consumer Price Index). It exempts production cooperatives from the requirement to classify agricultural products.

Competitiveness in the sector

According to the rapporteur, Congresswoman Coronel Fernanda (PL-MT), the bill strengthens competitiveness in the sector. She highlighted that Brazilian producers face high interest rates, market concentration, and strict environmental regulations. She believes the bill offers legal certainty and predictability.

The author of the proposal, Representative Sérgio Souza (MDB-PR), explained that the bill arose from a suggestion by Justice Luiz Fernando Keppen of Paraná. The goal is to avoid distortions in rural areas, which affect access to credit, insurance, and lower interest rates.

Souza advocated for recognizing producers as central figures in food security. He noted that other groups already have specific legislation, such as consumers, the elderly, and lawyers. He stated that rural producers need the same recognition.

Collaboration of entities

The text was drafted in collaboration with organizations such as Instituto Pensar Agro, CNA, OCB, and Aprosoja. Discussions and adjustments were made until a consensus was reached that was considered the best possible outcome for the sector.

The president of the Parliamentary Agricultural Front, Congressman Pedro Lupion (PP-PR), called the project innovative. He emphasized that the proposal recognizes producers as pillars of the national economy and responsible for millions of jobs.

The bill now moves on to the Finance and Taxation and Constitution and Justice committees for review. The process is conclusive.

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