Brasília, 1/16/2004 (Agência Brasil - ABr) - A special work group has been set up by the ministers of Agriculture, Roberto Rodrigues, and Finance, Antonio Palocci, to study a renegotiation of coffee growers debt.

It is estimated that the total debt of coffee growers is around R$800 million. Last September the government released a total of R$350 million in financial assistance for the sector. This year the Coffee Fund (Fundo de Defesa da Economia Cafeeira) (Funcafé) has a budget of R$ 1.2 billion.

Meanwhile the government has extended a payment deadline on R$189 million in debts due in December for another 60 days and released a total of R$340 million for 2004 harvest financial assistance. Finally, under study is an 18-month rollover of R$419 million in storage payments due from the 2000/2001 and 2001/2002 harvests. (AB)