Ministerio da Economia (Secex)
Trade Regulations

Ministry of Economy unifies rules on export quotas

Dec, 23, 2020 Posted by Sylvia Schandert

Week 202052

The Foreign Trade Secretariat of the Ministry of Economy (SECEX / ME) unified regulations on allocating and controlling the use of export quotas granted by other countries to Brazil. These instruments make it possible for certain quantities or amounts established for the sale of Brazilian products abroad to receive tariff benefits when entering the export destination markets. The measure is expressed in Ordinance No. 72 published on December 21st in the Federal Register.

SECEX’s ordinance includes the regulation of eight export quotas: beef (Hilton Quota), chicken meat, and sugar to the European Union; vehicles for Colombia, Argentina, and Paraguay; and quotas administered under the Mercosur-Israel and Mercosur-Colombia agreements. “The initiative thus allowed the revocation of provisions contained in six other ordinances that dealt with this subject sporadically”, explains the Foreign Trade Secretary, Lucas Ferraz.

According to him, Brazilian exporters now have rules that are more accessible, transparent, and capable of transmitting greater legal security in their operations. SECEX data shows that export quotas enabled Brazilian foreign sales of over US$ 753 million in 2020.

Regulatory environment review

Also aiming at rationalizing the regulatory environment for foreign trade, SECEX published Ordinance No. 71 on December 21st, revoking 206 normative acts on import tariff quotas that no longer applied. Ferraz points out that this measure “reduces compliance costs for foreign trade operators by simplifying the regulatory framework that supports operations and is part of the broad process of red tape carried out by the federal government”.

The two new ordinances issued by Secex are part of the government`s measures that aim to review and consolidate standards, as determined by Decree No. 10,139, of November 28, 2019.

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