São Paulo – Brazil government promised to waive import tariffs on medical goods until the end of the year as one of the measures announced on Monday (16) to fight coronavirus in the country. This products’ customs clearance will also be prioritized. Another action announced that impacts foreign trade is the temporary relief from Tax on Industrialized Products (IPI, acronym in Portuguese) for imported or domestic goods used to fight Covid-19.
The measures are part of a package announced by the minister of Economy, Paulo Guedes (pictured above). Brazil has recorded 234 cases of coronavirus and one death from the disease, as well as more than 2,000 suspected cases, according to the latest official figures from the Ministry of Health. Big cities such as São Paulo have reduced their activity due to the disease.
The plan announced by the federal government involves BRL 147.3 billion (USD 29,9 billion) for measures in several fronts, including the care of more vulnerable populations, new resources in healthcare, and measures for the most sensitive areas of the economy. The measures related to companies and Brazil’s productive sector include special deadlines do pay the Service Time Guarantee Fund (FGTS, acronym in Portuguese) and Taxation Regime Simples Nacional, additional credit for micro- and small-sized companies, and simplified credit acquisition.
Translated by Guilherme Miranda