CNN Brasil reported August 26 that fertilizer industry groups and Sinprifert delivered a formal emergency subvention proposal to Brasilia after a meeting with Agriculture Minister Andre de Paula.
The draft provisional measure would subsidize 85% of the price paid above $500 per tonne for sulfur including freight and above $152 per tonne for sulfuric acid, for three months.
Caps would limit purchases to 600,000 tonnes of sulfur and 150,000 tonnes of acid, split into 200,000 t and 50,000 t monthly quotas.
At July international prices and a R$5.07 per dollar exchange rate, entities estimated total disbursement near R$2.02 billion, or about R$672.5 million per month.
The subsidy would fall automatically if landed sulfur returns to $500 per tonne, scaling down to zero at that threshold.
Valor International separately reported August 26 that second-half August market assessments put landed sulfur near $800 per tonne, which would cut subsidy cost toward R$900 million rather than the R$2 billion ceiling.
The note positions the program as a bridge until Profert cost-support rules approved by the Senate take effect. Entities asked for an MP in September because sulfur bought in the next weeks sets Q4 phosphate output and 2027 plant readiness.
Sinprifert president Elias Alves Lima told Valor the contracting-to-arrival cycle can run 60 to 90 days, compressing the window for government action before fourth-quarter production decisions.
Vice President Geraldo Alckmin announced R$4 billion in BNDES credit for fertilizer firms under the Brasil Soberano 3 plan at the same Sao Paulo congress, separate from the sulfur subvention request.
Brazil's phosphate majors are among the largest Atlantic buyers of seaborne sulfur when Middle East lanes are open. The formal MP text turns last week's headline subsidy ask into tariff-like thresholds and volume caps.
Alberta forming plants and the Vancouver stem supply part of the Pacific tonnes that backfill Hormuz disruption. Brasilia's MP debate does not change Vancouver FOB directly, but it signals how far landed sulfur still sits above pre-conflict norms.
Desk read: the August 26 document is the procedural step after Monteiro's August 25 import warning. Subsidy size hinges on whether landed sulfur holds near $800 or re-tests crisis highs above $1,000 per tonne.