Brazil sanctions Profert to boost domestic fertilizer production

President Luiz Inácio Lula da Silva has sanctioned the Fertilizer Industry Development Program (Profert), a law designed to stimulate domestic production and reduce Brazil's heavy reliance on imported fertilizers. Currently, Brazil imports more than 80% of the fertilizers it consumes, a situation described by lawmakers as a risk to national and food security, particularly given global conflicts in Ukraine and the Middle East.

The law mandates a gradual increase in the mixture of domestic synthetic and mineral fertilizers within products sold in the country. Starting July 1, 2027, the minimum mandatory mixture will be 2% by volume, rising to 10% by January 1, 2037. The National Council of Fertilizers and Plant Nutrition (Confert) will be responsible for defining specific mixture percentages and monitoring results through annual reports.

To support the sector, the National Bank for Economic and Social Development (BNDES) or other authorized banks may provide financing for fertilizer production and raw materials. While signing the law, the President applied a veto to a specific clause that would have restricted the definition of fertilizers solely to those extracted and produced within national territory, a move intended to prevent legal conflicts regarding the mixture requirements.