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Chamber approves provisional measure for cities affected by drought.

The plenary of the Chamber of Deputies approved the text of Provisional Measure (MP) 610, which grants a series of benefits to municipalities affected by drought, especially those located in the Semi-Arid region; the provisional measure, which still needs to be voted on in the Senate, also authorizes the payment of an additional R$ 560 for farmers who joined the Guarantee-Harvest Fund for the 2011/2012 period and who were affected by last year's drought.

Chamber approves provisional measure for cities affected by drought.

Ivan Richard
Reporter from Agência Brasil

Brasilia - The plenary session of the Chamber of Deputies approved this afternoon the text of Provisional Measure (MP) 610, which grants a series of benefits to municipalities affected by drought, especially those located in the Semi-Arid region - which encompasses eight states in the Northeast and the north of Minas Gerais. Deputies are currently voting on amendments with proposals to alter the text of the conversion bill approved by the special committee that analyzed the MP.

The provisional measure, which still needs to be voted on in the Senate, also authorizes the payment of an additional amount of up to R$ 560 in benefits to be received by farmers who joined the Guarantee-Harvest Fund for the 2011/2012 period and who were affected by last year's drought. The legislative proposal had already been approved yesterday by the special joint committee of Congress created to analyze the text.

Payment will be made in up to four monthly installments of R$ 140, following the payment of the additional installments authorized in Provisional Measure 587. However, payment will be suspended if it coincides with the payment of the Guarantee-Harvest Fund for the 2012/2013 period.

The provisional measure also authorizes the National Supply Company (Conab) to purchase up to 550 tons of corn for direct sale to small farmers of poultry, swine, goats, cattle, and sheep located in the region of the Superintendency for the Development of the Northeast (Sudene).

Also for farmers in the Sudene area, special conditions were granted for the settlement of debts of up to R$ 100 contracted by rural producers up to 2006, including the elimination of fines or penalties for non-payment from the outstanding balance and granting discounts ranging from 40% to 85%, depending on the amount of the debt.

During the special committee's analysis, tax relief benefits that were included in Provisional Measure 601, which expired without being voted on in the Senate, and some incentives provided for in Provisional Measure 612 were incorporated into the text.

Therefore, the Provisional Measure included a policy of tax relief on payroll for economic sectors such as construction, journalism and broadcasting, rail, metro and road transport, gypsum, cashew nuts and retail trade, to encourage productive investments and boost the level of activity in the domestic economy.