Orplana requires sugarcane producers to receive ICMS credits

Orplana (Organization of Brazilian Sugarcane Producers Associations) - which represents 32 associations of sugarcane suppliers in five Brazilian states - requires that the transfer of ICMS credits granted be also transferred to sugarcane producers.

According to the CEO of Orplana, José Guilherme Nogueira, the states have complied with the granting of credits to industrial units and fuel distributors, in order to complement the effect of the price of hydrated ethanol fuel, an effect that occurred in 2022. However, this value did not reach sugarcane producers.

“The Consecana model (Council of Sugarcane, Sugar and Ethanol Producers) does not consolidate data in this way. This is a request from Orplana, requesting that this be integrated and passed on to producers. In other words, that the transfer also happens to sugarcane producers, since it came to complement the price effect. Whether through credits or in cash directly, this issue is being discussed at Consecana and also with state governments”, he reveals.

Also according to the executive, states such as Minas Gerais, Goiás and Mato Grosso carried out the transfer through direct financial resources, and not through credit. While the state of São Paulo reverted to credits.

“Our request is for the credits to be transferred in cash and the part that belongs to the sugarcane producer, in the remuneration for the raw material, to be included. Especially because several plants have already made use of these credits and even consolidated the revenue on their balance sheets”, he reinforces.

With around 12 thousand sugarcane producers represented throughout Brazil, Orplana has the calculations ready and, through its associations, requests that the mills meet this demand.

“This is a subject that is being discussed within the Consecana environment and Orplana will spare no effort to ensure that the resources reach the hands of producers in a fair and balanced way”, he concludes.