Conab holds sixth round of auctions to support wheat sales

This Friday (8), the National Supply Company (Conab) will hold a new round of auctions to support the marketing and flow of wheat. On this occasion, 175,55 thousand tons will be offered for the Equalizer Award Paid to Rural Producers (Pepro) and another 154,3 thousand tons for the Product Flow Award (PEP). The operation will be carried out through the Company's own Electronic Trading System (Siscoe).

Rural producers and their cooperatives from Bahia, Goiás, the Federal District, Mato Grosso do Sul, Minas Gerais, Paraná, Rio Grande do Sul, São Paulo and Santa Catarina can participate in Pepro. The PEP is intended for wheat milling industries and cereal traders in the same states. 

Participants must be registered on the Commodity Exchange where they intend to operate and in good standing with Conab's Defaulter Registration and Control System and Conab's National Rural Producers Registry System (Sican), in addition to being registered in good standing. in the Unified Supplier Registration System (Sicaf), as well as in the Informative Register of Unpaid Credits of the Federal Public Sector (Cadin), among other requirements set out in the notices.

The action was authorized by the Interministerial Ordinance of the Ministries of Agriculture and Livestock, Finance, Planning and Budget and Agrarian Development and Family Farming No. 12/2023, of October 5, 2023, which defined a volume of resources of up to R$400 million to transport the grain product from the 2023/2024 harvest outside the states of production origin.

In the case of PEP, milling industries and cereal traders receive the prize after proving the purchase of the product at the minimum price, set out in the table attached to Ordinance No. 6, of April 28, 2023, of the Ministry of Agrarian Development and Family Agriculture, and flow to permitted destinations. In Pepro, the prize is offered to the producer or cooperative that sells the product for the difference between the minimum price and the value of the Equalizer Prize collected, and proves the sale under the conditions set out in the Notice.