Exporting offers tax advantages for Brazilian farmers
Brazilian farmers who choose to export their products benefit from a considerably more favorable tax environment compared to selling in the domestic market. Brazilian tax legislation provides several incentives aimed at strengthening the country’s competitiveness in international trade.
Exports are generally exempt from taxes such as ICMS, PIS, and COFINS, and producers may also retain or recover tax credits generated throughout the production chain. This results in improved cash flow, greater price competitiveness, and increased financial predictability.
In contrast, domestic sales are subject to multiple layers of taxation, which directly reduce producer margins and increase operational costs.
As a result, exporting is not only a gateway to global markets but also a strategic fiscal decision for Brazilian farmers seeking efficiency, scale, and long-term sustainability.