São Paulo Imposes Tax on Vietnamese Tilapia Fillet Imports

São Paulo Governor Tarcísio de Freitas signed a decree on Tuesday (June 2) imposing a tax on the entry of Vietnamese tilapia into the state. The announcement was made by the governor alongside State Representative Itamar Borges and Secretaries Geraldo Melo (Agriculture) and Samuel Kinoshita (Finance).

The tax had been a long-standing industry demand and was welcomed by Marilsa Patricio, Executive Secretary of Peixe SP.

“This measure is a fundamental step toward correcting a serious market distortion that has been suffocating Brazil’s fish farming industry, particularly in São Paulo,” Marilsa said in a statement.

According to the executive, the tax helps level the playing field because Brazilian producers must comply with strict sustainability standards and labor regulations while facing a significant tax burden. Imported products, on the other hand, benefit from artificially low costs, creating what the sector considers unfair competition.

São Paulo already levies ICMS, the state value-added tax, on local production and on fish products arriving from other Brazilian states. Imported tilapia fillets, however, were previously exempt from ICMS, which the industry argued created a competitive imbalance.

Since the Brazilian government authorized imports of Vietnamese tilapia, the sector has complained that imported fillets reach the market at lower prices because they contain added water and additives, practices that are prohibited for domestic producers.

According to Datamar data, Brazil imported 500 TEUs of tilapia from Vietnam in the first four months of 2026. The chart below shows the expansion of imported supply of the product:

Tilapia Imports from Vietnam | Jan 2023 – Apr 2026 | TEUs

Source: DataLiner (click here to request a demo)

According to Marilsa, the measure will have an immediate impact in three key areas: producers will regain the predictability needed to expand fish farms and invest in technology; the industry, which generates thousands of direct jobs, will be better positioned to maintain employment; and the value created by fish farming will remain in Brazil and São Paulo, generating local tax revenue instead of benefiting foreign economies.

“São Paulo is setting an example of economic awareness and support for those who work and produce,” said Marilsa Patricio.

The announcement came on the same day the industry received what Peixe BR President Francisco Medeiros described as “a bucket of cold water.” He was referring to the 25% tariff that the United States may impose on Brazilian seafood exports starting July 15. São Paulo is one of Brazil’s leading exporters of fresh tilapia fillets to the U.S. market.

Source: Globo Rural

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