CONTRIBUTIONS TO SUSTAINABILITY IN THE BRAZILIAN AGRICULTURAL PLAN 2023/24

The document outlines three main sets of proposals to align Brazil's agricultural credit and insurance systems with climate goals. It advocates for increasing funding for the ABC+ and PRONAF ABC+ programs, restricting credit to properties with illegal deforestation or environmental embargoes, and improving rural insurance through the Rural Insurance Premium Subsidies Program (PSR) and the implementation of ZARC Stewardship Levels. Additionally, it suggests redirecting 10% of Constitutional Financing Funds (FCFs) toward sustainable practices and harmonizing these funds with the National Rural Credit System.

• The ABC+ Program, which promotes greenhouse gas emissions mitigation, received only R$ 6.2 billion in the 2022/23 agricultural year, representing 1.8% of the total Agricultural Plan and 6.6% of total investment resources. The authors propose increasing available resources for the ABC+ Program to R$ 8 billion and for PRONAF ABC+ to R$ 5 billion.
• To combat environmental degradation, the document proposes prohibiting rural credit for properties with illegal deforestation (unless undergoing regularization) and for areas with active embargoes issued by both federal and state environmental agencies across all biomes. Currently, credit restrictions for embargoes only apply to the Amazon Biome and only to those issued by IBAMA.
• Climate change is increasing agricultural risks in Brazil, evidenced by a more than fourfold increase in insurance claim payments in 2021/22 due to severe drought and a tripling of rural insurance demand over the last five years. The authors recommend securing R$ 2 billion for the economic subsidy of the Rural Insurance Premium Subsidies Program (PSR).
• The document proposes implementing ZARC Stewardship Levels (ZARC NM) in rural insurance and the PSR. This system uses indicators such as soil cover percentage and base saturation to separate risks into four levels, where higher levels indicate greater resilience to water stress and better environmental externalities.
• Constitutional Financing Funds (FCFs), which accounted for approximately 37% of total investment resources in the 2021/22 Agricultural Plan, are criticized for credit concentration among larger producers. The proposal suggests allocating approximately 10% of FCF investment funds (totaling R$ 2.06 billion) toward sustainable practices and incorporating ABC+ and PRONAF ABC+ criteria into all FCF investment resources by 2030.

APA

Stussi, M., & Souza, P. (2023). CONTRIBUTIONS TO SUSTAINABILITY IN THE BRAZILIAN AGRICULTURAL PLAN 2023/24. Climate Policy Initiative. https://www.climatepolicyinitiative.org/wp-content/uploads/2023/08/NT-Plano-Safra-EN.pdf

Chicago

Stussi, Mariana, and Priscila Souza. CONTRIBUTIONS TO SUSTAINABILITY IN THE BRAZILIAN AGRICULTURAL PLAN 2023/24. Climate Policy Initiative, 2023. https://www.climatepolicyinitiative.org/wp-content/uploads/2023/08/NT-Plano-Safra-EN.pdf.

Wikipedia

{{cite report |last1=Stussi |first1=Mariana |last2=Souza |first2=Priscila |title=CONTRIBUTIONS TO SUSTAINABILITY IN THE BRAZILIAN AGRICULTURAL PLAN 2023/24 |publisher=Climate Policy Initiative |date=August 2023 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2023/08/NT-Plano-Safra-EN.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stussi2023contributions, author = {Stussi, Mariana and Souza, Priscila}, title = {{CONTRIBUTIONS TO SUSTAINABILITY IN THE BRAZILIAN AGRICULTURAL PLAN 2023/24}}, institution = {Climate Policy Initiative}, year = {2023}, month = aug, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2023/08/NT-Plano-Safra-EN.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }