Government opens credit of R$1,2 billion for family farmers affected by drought

The federal government opened an extraordinary credit of R$1,2 billion to grant discounts on operations contracted from the National Program for Strengthening Family Agriculture (Pronaf). The operation was made possible by Provisional Measure No. 1.111, published in an extra edition in the Official Gazette of the Union this Wednesday (30/03), to minimize the damage caused by the drought in the southern states and Mato Grosso do Sul.

The measure was requested by the Ministry of Agriculture, Livestock and Supply after visiting the affected regions, listening to the sector's demands and negotiating with the government's economic area.

Small farmers who benefit from the measure will have a “rebate” (discount) on the payment of their funding debt and who do not have rural insurance or Proagro, like livestock farmers - including cattle farming, poultry farming, pig farming, sheep farming, fish farming, etc. among others. The rebate will also be applied to investment installments.

The measure covers the installments of debts due and falling due in the period from January 1st to July 31st of this year and will benefit producers who were in compliance until December 31st, 2021. The rebate should be around 35% of the value of the installment due , allowing, however, the extension of the remaining balance, after applying the rebate, if this is insufficient to settle the installment.