Banks and cooperatives request R$654,5 million in credit for the recovery of coffee plantations affected by frost

Banks and cooperatives presented a demand for R$654,5 million from the credit line intended for the recovery of coffee plantations affected by frost. In August, the Federal Government announced the reserve of R$1.318.582.400 from the Coffee Economy Defense Fund (Funcafé) for support measures for producers in Minas Gerais, São Paulo and Paraná who suffered economic losses due to the adverse climate event. 

The volume demanded, to date, represents 49% of the total reserved, according to a survey by the Mapa Agricultural Policy Secretariat. Of the 34 financial agents that operate with Funcafé, nine commercial banks requested R$338,8 million; two cooperative banks and ten credit cooperatives required R$315,7 million to be made available to producers. 

After the systematization of these demands and the signing of contracts by the Ministry of Agriculture, Livestock and Supply (Mapa), the resources will be available to financial agents next week. For this line of credit, the interest rate is maintained at 7% per year. The conditions for granting credit are established in the CMN Resolution No. 4.954/2021.

The resources that were not demanded, around R$665 million, will later be redistributed to Funcafé's other credit lines (funding, marketing, coffee acquisition and working capital).