Government eliminates taxes on 39 agricultural inputs thinking of easing the “pocket” of Colombians

This Monday, April 4, the Ministry of Agriculture and Sustainable Development announced that the President of the Republic, Iván Duque Márquez, issued Decree 504 of 2022, which defined a tariff of 0% for 12 months for another 39 agricultural inputs. The decision was made, according to the portfolio, with the aim of “continuing to reduce inflationary pressures in Colombians' pockets and reduce food production costs.”

Similarly, he noted that the decision contemplates those previously adopted in Decree 307 of March 3, which deferred to zero the tariff on 165 goods imported into the country.

“Today we give another good news to the country, the result of President Iván Duque's commitment to confront a phenomenon that is global, such as high inflation that affects consumers' pockets. We strongly show our farmers that they can continue to harvest and that 39 of the most important products used in agricultural production will enter the country without tariffs, such as seeds, fertilizers, nitrogen, sulfates and some medicines for veterinary use. This, together with a whole package of credit lines with subsidized rates and our support for agricultural insurance, demonstrates our support for the Colombian countryside,” said Minister of Agriculture, Rodolfo Zea Navarro.

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For its part, the Ministry of Commerce, Industry and Tourism said that the measure is intended to have an impact on the price of the final consumer, since when prices fall, this factor should also do so.

In turn, the Minister of Finance and Public Credit, José Manuel Restrepo, said that “these measures being taken are necessary to address global upward inflationary pressures, which have had negative effects on prices, especially food.”

In the same way, he argued that:

Something else contained in the new decree are another 36 tariff subheadings, which were already in Decree 307 of last March (all agricultural inputs), “this to extend for 6 more months the reduction of the tariff to 0%. That is, they would complete a year with zero tariff,” said the portfolio and at the same time specified that among these are: onion bulbs; corn grits; beet seeds; carrot seeds; vegetable seeds for planting; fertilizers and tools, among others.

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