InpEV was created, as a legal entity, after the approval of Law 9.974/00. The Institute represents manufacturers of agrochemicals in their responsibility to properly dispose empty containers of agrochemicals.
In order to honor that commitment, the companies associated to the Institute' finance all its activities, and have invested R$ 150 M in the program over the last five years.
The yearly contribution of the associated companies is defined through an intelligent and fair formula that considers the profile of the packages and their final destination costs. Among several items of cost, logistics is the highest one in the process managed by inpEV. Thus, the amount of containers (volume in weight) put into the market by each company and the places where they are sold (the 27 Brazilian States), are important data considered in the formula that defines the yearly contribution of each company. The budget of the Institute is approved on an annual basis, at the meeting of the associates and the amounts are periodically audited by a specialized company.
Supporting Processes: Legal / Education and Communication / Technological Development;
Basic Processes: Operation (Receiving Units Plants) / Logistics and Final Destination;
Administrative Processes: Physical Infrastructure / Finance and Accountancy Areas / Human Resources / Information Technology.
Cost sharing
Costs are shared throughout the agricultural production chain as follows: farmers bear the cost for transportation to the receiving units (they need to return them to the place indicated in the receipt); distributors (dealers and cooperatives) are in charge of building and managing Receiving Units Plants, which have their cost shared with manufacturers; the manufacturing companies will also bear logistics and final destination costs, and the government shares the costs for educational programs with all agents involved in the program.
The major costs of the program are related to infrastructure (Receiving Units Plants), logistics and recovery or incineration of containers. Over the last three years, manufacturers and the distribution network (dealers and cooperatives) have respectively invested R$ 150 M and R$ 43 M in the program. Their only revenue comes from the sale of packages to recycling companies, covering up to 16.5% of the total cost of the system.
The commitment of all agents (farmers, the industry, the government and distributors) is the key to the success of the program.
