The Brazilian government has brought forward the implementation of support for exporters in the form of tax credits for exports. Source: IHB.
Originally the Special Regime for Return of Tax Values for Exporting Companies (REINTEGRA) was due to begin in January 2015. Exporters will receive 3 per cent credit on export revenues, up significantly from the previous 0.3 per cent.
According to ABIMCI (The Brazilian Association of Mechanically Wood-Processed Industry), bringing forward the start of REINTEGRA should stimulate growth in wood product exports.
In related news, the government announced a R$200 million (US$ 81 million) contribution to the Export Financing Program (PROEX) for the timber industry and suspension of taxes on imported raw materials or components used in manufacturing products for export.
ABIMCI expects the trade in the last quarter of the year will improve due to government support and because of the economic recovery in the US.