Omar Aziz and Alberto Neto sign an alliance and celebrate approval of the ZFM project

Free Zone

Approval of the project brought together opposing sides of Amazonian politics

Manaus (AM) – The Federal Senate approved bill no. 1077/2019, which establishes deadlines for the analysis of minimum product industrialization operations (PPBs) in the Manaus Free Trade Zone, on Tuesday (19). This project established an alliance that many considered unlikely between Senator Omar Aziz (PSD-AM), supporter of current president Lula (PT) in the 2022 elections, and federal deputy Captain Alberto Neto (PL-AM), who is a declared supporter of former president Jair Bolsonaro.

Captain Alberto Neto, who never hid his Bolsonaro stance, and Senator Omar Aziz, known for his clash with former president Jair Bolsonaro, no longer hide their alignment. The two’s political double gained visibility, since Alberto Neto was the pivot in the expulsion of Colonel Menezes from the Liberal Party (PL) in Amazonas.

Omar Aziz, who was the project’s rapporteur in the Senate, declared that he is now just waiting for President Lula’s sanction.

“I was the rapporteur in the Senate and deputy Captain Alberto Neto was the author in the Chamber. Now the project goes to President Lula for sanction”

declared.

The senator stated that the measure is extremely important for accelerating investments in the Manaus Free Trade Zone.

“The Manaus Free Zone can only install an industry if it has the PPB, unlike what happens anywhere else in Brazil. It happens that the company requests analysis of the Basic Production Process and, many times, it takes years to be analyzed and the businessman loses credibility in the process, gives up investing or spends money in advance on a process that doesn’t work. We are not questioning the bureaucracy, as it is necessary to have rules to enjoy the Manaus Free Zone tax benefits”,

said the senator.

Alberto Neto highlighted the importance of approval, stating that it can guarantee more jobs for Amazonas.

“The best social program is still an employed father and mother, supporting families and prospering.”

Furthermore, approval of a PPB normally takes place over a period of more than two years, which the text considers “goes against productivity and competitiveness, which leaves ZFM companies unproductive and obsolete when compared to their competitors”.

The project goes to President Lula for approval.

Manaus Free Zone

The project, authored by deputy Captain Alberto Neto (PL), amends Decree-Law 288 of 1967 to establish a period of up to 120 days for the Executive to establish basic production processes, based on a joint proposal from the competent bodies of the then Ministry of Economy, project dates back to 2019 when there was the Ministry of Economy, currently divided into ministries such as Finance, Planning and Development, Industry, Commerce and Services, the Ministry of Science, Technology and Innovations and the Superintendency of the Manaus Free Trade Zone (Suframa ).

The deadline will be counted from the date of filing with the Interministerial Technical Group for the Analysis of Basic Production Processes (GT-PPB). After this period, the company holding the manufacturing project may request the Superintendency of the Manaus Free Zone (Suframa) to define the PPB, to be fixed within 60 days.

The PPB is a minimum set of manufacturing operations that the company must comply with in return for ZFM tax benefits. Currently, PPBs are established through interministerial ordinances, after requests from companies interested in producing goods in the region.

In justifying the project, the author notes that Law 8,387, of 1991, created the PPB instrument as a form of control and guarantee of the minimum industrialization operations brought about by Decree-Law No. 288, of 1967. However, the legislation currently in effect force does not indicate what will happen if this deadline is missed. According to deputy Captain Alberto Neto, the deadlines have exceeded two years, which has harmed companies located at ZFM.

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