Government of Paraná launches Irrigation Program with investment of R$ 200 million

Family farmers and rural producers will have fully or partially subsidized interest rates to invest in irrigation systems

23.08.2024 | 16:47 (UTC -3)
Cultivar Magazine, based on information from the State News Agency
Photo: Ari Dias
Photo: Ari Dias

The Government of Paraná has just launched the State Irrigation Program (Irriga Paraná) with an investment of R$ 200 million, aimed at expanding the irrigated area in the State by 20%. The program offers lines of credit with subsidized interest for family farmers and rural producers, aiming to increase productivity and face the effects of climate change. 

“It’s a modern vision of agriculture that the world has been doing. With climate change and the need to increase our productivity, we decided to implement this program, which will make life easier for farmers, both in terms of technical design and environmental licenses and grants, in addition to subsidized interest”, highlighted the State Governor , Carlos Massa Ratinho Junior, during the launch. 

Currently, only 3% of Paraná's agricultural area is irrigated, which corresponds to 170 thousand hectares. The new program aims to expand this area, offering up to five harvests every two years and generating a significant increase in farmers' income and the agribusiness economy.

Access to credit lines

Of the R$200 million that will be invested, R$150 million are for credit lines to encourage the installation of irrigation systems. There are R$78 million via Banco do Agricultor Paranaense (through Fomento Paraná, with interest rate subsidy), R$42 million via Banco Regional de Desenvolvimento do Extremo Sul (BRDE) and R$30 million via Agricultural Equipment Fund of Paraná (Feap), managed by the Department of Agriculture (Seab). The program will be implemented by the State Agriculture System (Seagri).

Family farmers covered by the Safra Plan will have zero interest through Banco do Agricultor Paranaense, with bonuses of up to R$20 in cases of payment. For other producers, there will be a subsidy of five percentage points up to the financing limit of R$1,5 million.

In BRDE, there will be a specific line of credit with free resources, with interest subsidies ranging from 7% to 12% per year, depending on the amount of financing, available throughout the year. Through Feap, projects will be forwarded by the Paraná Rural Development Institute (IDR-Paraná). Service and equipment companies will be registered via public call, which will be responsible for the projects to be sent to the Fund. If the program's technical unit approves, Feap will transfer the funds directly to the producer.

Paraná Rural 

Irriga Paraná is part of the Water Security Program for Agriculture, a public policy created to mitigate the effects of water scarcity and support the state's agricultural sector. Based on the history of significant losses due to adverse weather conditions, the program seeks to strengthen agriculture in Paraná, which is one of the main economic activities in the state.

In the last five years, Paraná faced an estimated loss of R$40 billion due to water deficits. With the new program, the state hopes to improve the resilience of crops and increase the irrigated area, ensuring a more sustainable future for local agriculture.

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