It was expanded from the current R $ 10 million to R $ 160 million the credit line to finance the recovery of coffee cafe with resources from the Coffee Economy Defense Fund (Funcafé). The measure was approved on Thursday (26) in a virtual meeting of the National Monetary Council (CMN).
According to the Ministry of Economy, the measure was justified by the negative effects of adverse climatic events, basically lack of rain and high temperatures, which reached the cafe between the months of March and October 2020 in the main producing regions of the country, which compromised the Productivity of the harvest to be harvested in 2021, with the possibility of also affecting the 2022 crop. Supplementation was carried out through relocation of part of the resources for marketing operations, financing for coffee acquisition and working capital.
“As this line of credit aims to finance the recovery of coffee cravings damaged by rains of hail, frost, vessel or other climatic phenomena, the expansion of this resource is quite timely due to the climatic weathering in the Brazilian coffee shops, especially water deficit “Stresses the Director of the Department of Commercialization and Supply of the Ministry of Agriculture, Livestock and Supply, Silvio Farnese.
To progress to the availability of credit for producers as soon as possible, the Ministry of Agriculture will receive, by 4 December of this year, demands of financial institutions interested in operationalization of resources, through the electronic address funcafe@agricultura.gov.br
“It is a way to meet the current situation of crops that have suffered adversities because of the reduction of rains and high temperatures between the months of March and October this year, in the coffee producing regions, as Minas Gerais, Espírito Santo and São Paulo, Paraná, “explains Farnese. The Director warns that climatic effects may compromise the productivity of the 2021 crop, and even impact on the 2022.
With resource supplementation, it will be possible to serve up to 50 thousand hectares of coffee affected by the drought, mitigating part of the financial difficulties of producers.
CMN proposals were approved by the Technical Committee of the Deliberative Coffee Policy Council, in a meeting on 27 October.
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The map is reinforcing the budget of the Brazilian Coffee Research and Development Consortium, coordinated by Embrapa, at R $ 2.8 million, with Funcafé’s resources. With this contribution, the total volume destined for the survey for coffee culture in 2020 reaches R $ 7.4 million.
The consortium is integrated by the main universities and research institutes operating in the coffee sector. Activities guarantee a technological pattern in the culture of coffee making it possible to grow from the productivity of the crops, making Brazil stand out as the country with the highest cafe tree production.
The work of the research is focused on technologies for the genetic improvement of plants, combat of pests and diseases, waste use, guaranteeing balance with the environment and improvements in the harvest and post harvesting stages, important steps to ensure the good quality of the National drink.
This text was translated by machine from Brazilian Portuguese.