Municipalities account for almost half of the funding dedicated to technical assistance and rural extension.

An updated study by the National Confederation of Municipalities (CNM) provides a diagnosis of Technical Assistance and Rural Extension (Ater), a vital instrument for food security and the growth of the country's production. The survey reinforces that from 2016 to 2025 there was a profound transformation in the financing architecture of Technical Assistance and Rural Extension in Brazil, with this policy remaining mainly supported by municipalities. During this period, the total exceeded R$ 53 billion, with municipalities responsible for R$ 26 billion (49% of the total accumulated). The states, traditionally direct executors through Technical Assistance Companies (Emater), applied R$ 21.3 billion, or 40% of this total accumulated. The relevance of municipal spending becomes even more evident when compared to the Union's participation, which contributed only R$ 5.6 billion (11%), demonstrating a process of "municipalization of expenditure," in which the entity with the smallest tax base assumes the greatest operational burden. The relevance of municipal spending becomes even more evident when compared to the federal government's contribution, which totaled only R$ 5.6 billion (11%), reinforcing this process of "municipalization of expenditure," in which the entity with the smaller tax base assumes the greater operational burden.

Situation in 2025

In the fiscal year 2025, resources allocated to rural extension totaled R$ 5.53 billion, an amount that represents a 7.4% decrease compared to the previous year. Analysis of the composition of investments by federative entity reveals an asymmetrical distribution of responsibilities: the Federal Government registered the smallest share, with a contribution of R$ 283 million, representing only 5.1% of the total invested in rural extension in the country. In turn, the States allocated R$ 2.2 billion to the area, accounting for 38.9% of the total resources. During the same period, Municipalities once again consolidated their position as the main funders of rural extension actions, with an investment of R$ 3.1 billion, equivalent to 56% of the national expenditure. “Given this scenario, it becomes imperative that this diagnosis reinforces the need to revise the Federal Pact in the agricultural sector. The sustainability of the sector demands not only the recognition of municipal fiscal efforts, but also the institutionalization of co-financing mechanisms and fund-to-fund transfers, aiming to guarantee greater equity in the distribution of resources,” highlights the president of the CNM, Paulo Ziulkoski.

This text was translated by machine from Brazilian Portuguese.