Freight table to be decided in the FTF plenary, minister Fux after hearing

After a public hearing on the freight table, Minister Luiz Fux of the Federal Supreme Court (STF) said Monday that he will not decide alone on the issue and that he will take the three direct actions of unconstitutionality (ADIs ) on the matter for analysis directly in the plenary of the Court, informs the “Agência Brasil”.

 

“Now that we have enough information, I will submit the cases together, let us judge the matter as soon as possible. All together, I will take the plenary as soon as possible, “said Fux. The audience also had the participation of the minister Alexandre de Moraes.

 

The freight charge was sent by the government of President Michel Temer for processing in Congress as a result of the negotiation that ended the 11-day national stoppage of the truck drivers last May. The proposal was approved and sanctioned by Temer earlier this month.

 

Public hearing at the Federal Supreme Court (STF) discusses Provisional Measure 832 and ANTT Resolution 5.820 / 2018, which establish and regulate the policy of minimum prices for road freight transport.

 

The minister did not want to predict when to release the lawsuit for trial. “Setting a deadline is creating economic speculation, everything we do not want. The Supreme has to ensure governance, “said Fux.

 

Fux said that he will first send the case to the demonstration of the competent bodies that have not yet given an opinion. Among these, is the Attorney General’s Office (PGR). Only after this process, the actions should be sent to the plenary.

 

Once released by the rapporteur, it will be the presidency of the STF to set a date for the judgment of the actions, which has no deadline to occur. On September 13, the Court changes its command, and the Minister Carmen Lúcia passes the post to Minister Dias Toffoli.

 

Against the table

 

For about four hours, Luiz Fux heard from representatives of the productive sector and truck drivers, who argued against and in favor of the minimum freight rate, created in May by the government via a provisional measure and converted into law by Congress this month.

 

Representatives of industry and agribusiness have strongly criticized the measure, which is said to undermine free competition and cause inflation by raising prices, for example from products from the basic food basket to the final consumer.

 

In the evaluation of Armando Castelar Pinheiro, representative of the National Industry Confederation (CNI), a rise of up to 12% in transport costs, with an estimated impact of R $ 53 billion per year, should be passed on to the final consumer, in the food sector.

 

“The poorest consumers will be affected because, for them, food has a greater weight [in the domestic budget],” said Castelar. “We are giving the weakest link in society the responsibility to pay this immense cost of wrong policy over the system.”

 

They were also opposed to a government intervention in the market, the Administrative Council of Economic Defense (Cade), the National Confederation of Transport (CNT) and the Confederation of Agriculture and Livestock of Brazil (CNA). The entities have called for a swift decision to resolve the legal uncertainty that has hampered the closing of future contracts.

 

“We call on this House [STF] so that it does not wait for the next ruler, so that it does not wait for the next elections, so that it does not wait next week”, said the representative of the CNA, Luiz Antonio Fayet.

 

Actions against the table

 

The minimum freight price table was established by Provisional Measure 832/2018, now converted into Law 13,703 / 2018, and by Resolution 5.820 / 2018 of the National Land Transport Agency (ANTT), which regulated the measure.

 

Fux is the rapporteur of three direct actions of unconstitutionality (ADI) against the measure, filed by the Brazilian Road Transport Association (ATR Brasil), which represents transport companies; the National Confederation of Industry (CNI) and the Confederation of Agriculture and Livestock of Brazil (CNA).

 

Entities claim that the table violates the constitutional principles of free competition and free enterprise, and is an undue interference by the government in economic activity. They want an injunction (provisional decision) to be suspended immediately.

 

Entities of the agro manifest

 

In a statement, the director general of the National Association of Cereal Exporters (Anec), Sérgio Mendes, pointed out that the entity estimates that the export of maize, which was expected to reach 27 million tons, will fall to 20 million tons in 2018, with continuity of tabulation. “The unpredictability generated by the tabulation can annihilate the export of corn, causing the market to lose competitiveness,” said the leader.

 

In turn, also in a note, the Brazilian Association of Animal Protein (ABPA) pointed out that the legal uncertainty in the face of the uncertainties surrounding the new freight table generates direct consequences for the final consumer.

 

According to the association, the theme of minimum freight impacts several sectors of the economy, especially poultry and pig farming, which have their own categories of dedicated and exclusive freight. With the proposed new table, the logistic cost presents an average increase of 35% – reaching close to 80% in some modalities, such as the transportation of feed. 

 

ABPA also pointed out that it is wrong to keep a table, and it is necessary to re-discuss the subject so that the impacts are considered and clarified.

 

This text was translated by machine from Brazilian Portuguese.