New PEP and Pepro auctions from Conab negotiate 107 thousand tons of rice

A new opportunity to sell rice in the southern region will be offered by Companhia Nacional de Abastecimento (Conab) on Thursday (19). This is the sixth incentive for producers and industries in Rio Grande do Sul and Santa Catarina to be able to pass through their inventories, through auctions for the Prize for Product Flow (PEP) and the Producer Payment Equalizer (Pepro) Prize.

90 thousand tons will be offered to PEP (75 thousand from RS and 15 thousand from SC) and 17 thousand from Pepro (15 thousand tons from RS and 2 thousand tons from SC), totaling 107 thousand tons. The product can not be sold to the states of the South, Southeast and Midwest, besides Maranhão, Piauí, Tocantins, Rondônia and Pará.

To participate in the Pepro auction, farmers and cooperatives need to be enrolled in the National Rural Producer Registration System (Sican). In the case of the PEP, the purchase of the product by the cereal industry or merchants must be carried out by producers who also have a registration in the system.

At the last auction held on April 4, 41% of the PEP’s 90,000 tons were traded, corresponding to 37,000 t (32,400 t from RS and 4,6 thousand from SC). There was no interest for the 17,000 tons offered by Pepro, which already indicates a natural reaction of stabilization of the market.

In the five operations carried out since the beginning of the year, Conab offered 647 thousand tons of rice, with negotiation of about 346.2 thousand tons. The auctions were authorized in a decree published in the Federal Official Gazette on December 29 and an approximate amount of R $ 100 million is expected for the operations. The objective is to guarantee the maintenance of minimum cereal prices in the southern region and to comply with the Federal Government Minimum Price Guarantee Policy.