BRASILIA, Reuters – Brazil’s government plans to exclude port costs from the tax calculation to reduce import costs, according to three Economy Ministry sources. This is a move supported by Brazil’s industry lobby.

Two officials stated that the government was considering lowering the shipping freight tax while at the same time.

The war in Ukraine has caused a rise in commodities prices and increased shipping costs.

Unloading and transporting goods in port areas are part of the calculation of import and other taxes like the IPI industrial and state taxes.

and the PIS/Cofins Sales Tax.

These three sources were involved in the creation of the measures. They did not disclose their fiscal costs to the Treasury. However, they said that the cost was low.

According to the Economy Ministry, it will not comment on changes planned for implementation in the next few days.

In a 2020 study, the National Confederation of Industry (CNI), Brazil’s largest industry lobby said that the removal of port expenses from taxation on importers would add 134.5 billion Brazilian reais over the next 20 years. This could increase trade flows and direct investments in Brazil.