Agribusiness Nesletter | July 2026

The Agribusiness Newsletter brings information and news about the main regulations and legal texts relating to the regulation of agribusiness in Brazil. This initiative seeks to cover the agribusiness industry on its transactional, litigation, tax and regulatory levels, and is an invitation for all of those working in this market to both access important news and comments on vital topics from the sector.

This material is for informative purposes only, and should not be used for decision-making. Specific legal advice can be provided by our legal team.

FISCAL REGULATION

Ruling authorizes PIS/Cofins credits for agribusiness transactions taxed after Supplementary Law No. 224/2025

The 2nd Federal Court of Ponta Grossa has ruled that agricultural companies subject to the non-cumulative regime may enjoy PIS and Cofins credits for acquisitions already taxed at a previous stage of the production chain.

The court stated that Supplementary Law No. 224/2025 did not revoke this right; it merely maintained the prohibition on crediting in non-taxable transactions.

Although it does not deem the law unconstitutional, the ruling aims to enforce the principle of noncumulative taxation. Despite being subject to appeal in higher courts, it could serve as a reference point for similar disputes.

See more Details (PT-BR): Juiz concede crédito de PIS/Cofins a empresa do agro após mudanças da LC 224/2025

CARF allows PIS/Cofins credit on royalties for genetically modified seeds

The Administrative Council for Tax Appeals (CARF) has recognized an agricultural company’s right to claim PIS and Cofins credits on royalties for a technology incorporated into genetically modified seeds.

The authority claims that such technology cannot be separated from the seeds and is an essential input for production, even though royalties are calculated and paid after the harvest. The decision also allowed credits for bonuses, freight, the purchase of goods, and maintenance services. It could serve as a guide for similar discussions involving biotechnology and intellectual property in agricultural production.

See more details (PT-BR): Carf permite crédito de PIS/Cofins sobre royalties de sementes geneticamente modificadas

FINANCIAL REGULATION

Decree breaks new ground by including Rural Product Notes in debt renegotiation

Provisional Measure (MP) No. 1,376 authorized the creation of credit lines to restructure debts held by rural producers and cooperatives affected by crop losses, adverse weather events, or reduced income. The instrument also authorizes the Federal Government to contribute to a guarantee fund for these operations.

Provisional Measure No. 1,376 allows short-term liabilities to be replaced with new financing featuring longer terms and different charges, aligning the payment of obligations with the cash-generating capacity of rural businesses. The measure also provides for a mechanism to restructure producers’ debts through new financing. According to the Ministry of Finance, the renegotiation is expected to cover more than BRL 100 billion in debt, with an estimated fiscal impact of less than BRL 4 million.

This means that the measure could cover operations related to costing, marketing, processing, and investment, as well as Rural Product Notes (CPR). Under the general framework, beneficiaries must demonstrate losses in at least two harvests between 2019 and 2025, with a minimum 30% reduction in expected gross agricultural income. These losses must be caused by extreme weather events or by a decrease in market prices, as evidenced by a report from a legally qualified professional. The new financing arrangements may have terms of up to eight years, with principal repayments starting two years after the agreement is signed. However, producers affected by more severe and recurring climate-related losses may be eligible for more favorable conditions. These conditions vary based on the size of the producer’s operation, including family farmers under the National Program for Strengthening Family Farming (Pronaf) and micro, small, and medium-sized producers under the National Program to Support Medium-Sized Rural Producers (Pronamp).

* Losses in three or more harvests between 2019 and 2025, exclusively due to extreme weather events, with a minimum 40% reduction in gross income. The term is up to ten years in both cases.

One of the innovative aspects of the measure lies in its treatment of CPRs, which operate under a different legal framework from traditional rural credit. The measure authorizes the inclusion of defaulted CPRs under the same terms and interest conditions, allowing financial institutions to replace the defaulted note with a new financing arrangement with a term of up to eight years. It will also be possible to include CPRs taken out to settle other CPRs, provided they meet the criteria for losses and reduced income. While previous initiatives have already allowed the use of credit lines to settle CPR-related debts, the new structure incorporates the note itself into the liability reorganization, enabling producers to extend maturities and align payment schedules with their cash flow.

Provisional Measure No. 1,376 also includes guidelines on guarantees for new transactions, which must be proportionally revised—reduced when excessive or increased when insufficient—and provides for the potential creation of a credit guarantee fund for the agricultural sector.

These lines of credit may be taken out within 120 days of the MP publication date (initially, November 12, 2026). Provisional Measure No. 1,376 also authorized a 30-day extension for principal and interest payments that were in good standing on July 14, 2026, and due within 30 days of the measure’s publication, provided that one of the special credit lines is requested.

See more Details (PT-BR): Medida Provisória Nº 1376 – Liquidação de Dívidas Rurais e MP de dívidas rurais será publicada nesta quarta, diz ministro da Fazenda

Brazilian Government extends deadline for rural producers’ compliance with IBS and CBS tax obligations

Brazil’s Ministry of Finance and the IBS Governing Committee have pushed back the effective date of select obligations for individuals, micro-businesses, self-employed freight carriers, and rural producers to January 1, 2027. The extension covers registration requirements and the issuance of tax documents related to IBS and CBS.

The measure extends the period for these taxpayers to comply with the tax reform and, until the new deadline, suspends penalties for non-compliance with the obligations covered by the extension. This postponement could have a particular impact on agribusiness supply chains, in which tax documentation from producers and other suppliers may be required for purchasers to claim tax credits.

 See more details (PT-BR): Governo adia para 2027 nota fiscal e CNPJ de pessoa física e produtor rural

ENVIRONMENTAL REGULATION:

CONAMA sets criteria to obtain controlled burning authorization for agroforestry and livestock purposes

Brazil’s National Environmental Council (CONAMA) has established criteria and minimum transparency and data integration requirements for issuing Authorizations by Adhesion and Commitment (AAC) for controlled burning for agroforestry and livestock purposes.

CONAMA Resolution No. 514/2026 states that an AAC may be issued if:

• The property is actively enrolled in the Rural Environmental Registry (CAR) with no pending issues due to a lack of response or notification from the competent environmental agency.
• The area for controlled burning must not be subject to any embargoes and must not exceed 200 hectares per property, with a limit of two fiscal modules. The competent authority may establish smaller areas within its own regulatory acts, given the biome’s specific attributes.
• The area is not located within a conservation unit, except for an Environmental Protection Area (APA), a conservation unit buffer zone, or within a 10-kilometer radius of an Indigenous land.

The competent environmental authority may establish the AAC procedure for controlled burning. Responsibility for issuing AACs may also be delegated, provided that the delegatee demonstrates the required technical capacity and the delegating authority monitors and oversees compliance with the applicable environmental and technical requirements.

Mato Grosso regulates the establishment of firebreaks in the Pantanal during an emergency period

The Mato Grosso State Department of the Environment (SEMA) has established the procedures for creating firebreaks on rural properties located in the Restricted Use Area (UR) of the Mato Grosso Pantanal during the state’s declared emergency period. Firebreaks are strips of land cleared preventively to prevent or contain the spread of wildfires.

Owners and lawful possessors of rural properties located in the Pantanal’s Restricted Use Area, including state conservation units, may establish firebreaks along the property’s boundaries and in internal areas close to legal reserves and permanent preservation areas, without the need for prior authorization from SEMA. Firebreaks may be created directly by landholders or with support from third parties, provided they are intended to prevent or contain forest fires.

Firebreaks must be at least 6 meters wide and no more than 40 meters wide. Clearing of anthropized, consolidated, or pasture areas is permitted, but the removal of native vegetation remains prohibited without authorization from the competent environmental agency.

After creating the firebreak, the responsible party must file the Declaration of Firebreak Activity in the Pantanal (Declaração de Atividade de Aceiro no Pantanal – DAAP) using the form provided by the Military Fire Department of Mato Grosso.

Rio Grande do Sul updates environmental licensing rules for irrigation projects

The Rio Grande do Sul State Environmental Council (CONSEMA) has updated the environmental licensing procedures applicable to water withdrawal for irrigation without a reservoir, as well as to irrigation dams and weirs.

Artificial reservoirs for irrigation, classified as minimal or small-sized dams or weirs, will be licensed through a Single Environmental License (LAU). These cases will also require a Grant of the Right to Use Water Resources or its respective waiver, as well as authorization for the removal of native vegetation, when necessary.

If the dam is classified as medium-sized, or the weir is classified as medium-sized, large, or exceptional, these reservoirs must be licensed through the Unified Preliminary and Installation License (LPI) and the Operating License (LO), following the same prior procedures mentioned above.

The law also requires the drafting of an Environmental Impact Study and Environmental Impact Report (EIA/RIMA) for dams with an accumulation basin exceeding 100 hectares.

Pará regulates participation in the Environmental Compliance Program and the transition to a new program management system

The State Secretariat for the Environment, Climate, and Sustainability (SEMAS) of Pará has established the procedures and criteria for joining the Environmental Compliance Program (PRA) and has regulated the transition to the program’s new management system (SIPRA/PA+). The program is designed to ensure compliance of rural properties with environmental liabilities related to permanent preservation areas, legal reserves, and restricted-use areas. Only properties enrolled in Pará’s Environmental Rural Registry with a status of “analyzed” or “pending environmental legalization” may adhere to the program online.

The transition to SIPRA/PA+ will involve the complete migration of electronic data from the previous system. Therefore, the launch of the new system does not affect the status, validity, or progress of physical applications registered in the Integrated Environmental Monitoring and Licensing System of Pará (SIMLAM/PA).

Ongoing procedures also remain valid, including technical analyses and validations of Projects for the Recovery of Degraded or Altered Areas. In cases where additional information is needed and new fields required by SIPRA/PA+ must be filled out, registration updates will be required only for applications that have not yet been analyzed by SEMAS in the previous system.

MAPA REGULATIONS – Ministry of Agriculture and Livestock

Brazil’s Federal Council of Veterinary Medicine releases new guidelines for technical managers in establishments handling products of animal origin

The Federal Council of Veterinary Medicine (CFMV) has published two new editions of its Guidelines for Technical Responsibility in Animal-Origin Product Establishments, focusing on the egg and bee product industries. These publications aim to consolidate technical references to support professional practices and strengthen regulatory compliance.

Eggs and egg products

Volume 3 provides specific guidelines for conventional, organic, cage-free, and free-range production systems. The document covers biosecurity, animal welfare, good production practices, egg classification, raw material management, and product safety, quality, and identity.  

Bee products and derivatives

Volume 4 is aimed at establishments that process these products and covers both apiculture and stingless beekeeping operations. The publication provides guidance on traceability, raw material quality, facility registration, environmental management, legal requirements, and food safety.

According to the CFMV, the documents were developed to support technical managers by detailing professional responsibilities and providing up-to-date guidance on compliance with applicable legislation, the implementation of best practices, and the standardization of procedures.

See more Details (pt-br): CFMV lança novas diretrizes para responsáveis técnicos em estabelecimentos de produtos de origem animal

Ministry of Agriculture and Livestock: New calls for accreditation of analytical laboratories for agricultural defense

The Ministry of Agriculture and Livestock (Mapa) has issued two accreditation notices for laboratories to operate in analytical areas related to agricultural defense. The initiative aims to expand and consolidate the network of laboratories that support Mapa’s inspection and control activities, complementing its official structures.

• SDA/MAPA Notice No. 16/2026: covers the accreditation of laboratories for the fields of physicochemical analysis of animal-origin products, physicochemical analysis of plant-origin products, food and water microbiology, residues and contaminants in food, physicochemical analysis of animal feed, and physicochemical analysis of wines, beverages, and vinegar products.
• SDA/MAPA Notice No. 17/2026: specifically covers the accreditation of laboratories in the milk quality sector, which is deemed strategic for the inspection and health control of the production chain.

Experiência Agro Brasil: Ministry of Agriculture launches program to publicize Brazilian agribusiness

The Ministry of Agriculture and Livestock (Mapa) has launched the Experiência Agro Brasil program, an initiative to promote Brazilian agribusiness internationally and solidify relationships with strategic trade partners. The program aims to expand the dissemination of reliable industry information and encourage the exchange of experiences with representatives from other countries.

The program is aimed at professionals and opinion leaders from Brazil’s trading partners or countries deemed strategic. It can be implemented through the Executive Immersion, Extended Immersion, and Technical Residency formats.

Activities may include institutional presentations; visits to farms, cooperatives, agribusinesses, research centers, and universities; and meetings, seminars, workshops, and other training events.

The program will be coordinated by Mapa’s Secretariat of Trade and International Relations, which may collaborate with other units within the ministry, with the Brazilian Agricultural

REGULAMENTAÇÃO IMOBILIÁRIA

Brazilian authority authorizes the use of private instruments in real estate fiduciary sales

Brazil’s National Council of Justice (CNJ) has confirmed that private instruments can be used with the same effect as a public deed in the fiduciary sale of real estate and related acts, even if the parties involved are not participants in the Real Estate Financing System (SFI) or the Housing Finance System (SFH). In practice, the decision reduces the need for a public deed, strengthens legal certainty, and simplifies real estate guarantees outside the SFI and SFH.

See our Client Alert for more details.

Brazilian Federal Revenue Service publishes rules for 2026 Rural Property Tax statement

The Brazilian Federal Revenue Service has published the rules governing submission of the 2026 Rural Land Tax Return (Imposto sobre a Propriedade Territorial Rural – ITR), which must be filed by September 30, 2026. In general, the obligation applies to individuals and legal entities that own, hold beneficial title to, or lawfully possess rural properties, except in cases of legal exemption or immunity.

 Timely compliance with this obligation is important not only to avoid a late payment penalty—calculated at 1% per calendar month or fraction thereof on the tax due—but also to ensure the property remains in good standing for tax purposes.

Proof of compliance with ITR obligations is commonly required in transactions involving acquisitions and sales, collateral arrangements, financing transactions, parceling, corporate reorganizations, and other dealings involving rural properties.

From a practical standpoint, companies and investors should review ownership records, declared land areas, title information, bare land value calculations, and any inconsistencies among tax, cadastral, and land registry records before filing.

Brazil’s INCRA updates its Land Management System

The National Institute for Colonization and Agrarian Reform (INCRA) has updated its Land Management System (SIGEF) to automate and speed up the processing of requests to cancel georeferencing certifications for rural properties.

With the new feature, requests that meet objective criteria can be approved automatically, without manual review by INCRA. Requirements include submission by the technical professional responsible for the certification, the private nature of the parcel, the absence of confirmed land registry records in the system, and compliance with specified area-divergence thresholds. The update also standardizes rationales, expands requirements for submitting spreadsheets, and organizes the automatic validation of requests into categories such as error, alert, and information.

This change should reduce the processing time for certain requests and allow INCRA to focus technical reviews on more complex cases with pending issues, inconsistencies, or situations not covered by the automation rules. In this context, the measure could yield significant benefits in transactions that involve correcting certifications, resolving overlaps, restructuring plots, rectifying areas, or reorganizing land.

Even so, automation does not eliminate the need for prior technical review of documents, especially in projects with registration or transactional implications. In rural real estate transactions, the update reinforces the importance of aligning information from the SIGEF, the rural registry, the real estate registry, and technical documentation before executing or closing deals.

Ideia Terra Brasil Program: Digital platform will integrate territorial, environmental, and land data

Brazil’s Federal Government has launched the Ideia Terra Brasil Program, an initiative to create a digital public infrastructure for territorial and environmental data, supported by artificial intelligence. The program aims to integrate key databases for land and environmental governance, including the National Operator of the Electronic Real Estate Registry, the National Rural Registry System, the Land Management System, and databases linked to INCRA, the National Institute for Space Research (INPE), and other public agencies.

Key goals of the program include the automatic and secure exchange of information, improvements to the Rural Environmental Registry, land legalization, the management of rural public assets, the streamlining of administrative procedures, and the strengthening of public transparency.

While its practical effects hinge on the initiative’s gradual implementation, the program signals a structural shift in how the government can organize and cross-reference territorial, environmental, cadastral, and registry information.

For companies and investors, greater integration of databases is likely to increase the exposure of inconsistencies among records and documents, potentially affecting due diligence procedures, legitimization efforts, financing transactions, corporate transactions, and acquisitions of rural assets. On the other hand, greater interoperability among systems may streamline verification procedures, reduce information asymmetries, and increase legal certainty in transactions involving rural properties.