Overview
- With congressional votes concluded, the Profert text has been sent to the president for sanction and would operate from 2027 through 2031 if signed into law.
- The program mobilizes up to R$10 billion in incentives, capped at R$2 billion per year, and limits each project’s tax credit to 20% of its domestic spending under a competitive selection process.
- Profert ties benefits to environmental and social conditions, creates the national fertilizers council Confert to set policy, and mandates a phased national-mix target that rises from 2% to 10% by 2031.
- Planned support channels include CSLL tax credits that can offset federal debts or be reimbursed, BNDES financing under CMN rules, and AFRMM freight exemptions capped at R$200 million per year and R$1 billion total.
- Reporting shows political strain over the sanction talks: the Senate rapporteur Tereza Cristina was excluded from a government-parliament meeting and the government negotiated broader fiscal exceptions for fertilizers as inserts in a separate fuel-tax bill, raising questions about transparency and fiscal offsets.