Brazil’s finance minister Guido Mantega announced this week a tax credit of 9 percent over all industrial companies, including the world’s top iron ore producer Vale, media reports said.
The incentive, which takes effect in October, was aimed only to the construction, services, food and beverages industries. According to market sources, Vale will benefit “quite bit from this.”
The measure comes after a recent ruling that freed Vale from paying taxes on profits made overseas.