Law No. 19.733 providing for mandatory transparency and technical criteria in the grading of tobacco leaves, carried out either on the producer’s premises or at the purchasing company’s premises, within the State of Santa Catarina.

This Law establishes mandatory rules to ensure transparency and the application of technical criteria in the classification of tobacco leaves in the State of Santa Catarina. Its main objective is to strengthen fairness and balance in the commercial relationship between tobacco producers and purchasing or processing companies by guaranteeing that classification—used to determine price and quality—follows standardized technical parameters defined by competent authorities. To this end, the law requires companies to conduct the classification process at the producer’s property upon request and to provide clear and accessible classification tables in advance, including visual references. It also mandates that weight, quality classification, and pricing be formally documented and agreed upon at the time of transaction, ensuring traceability and legal certainty in commercial negotiations. In addition, the law aims to enhance procedural transparency and protect producers’ rights during the commercialization process. When classification takes place at company facilities, it requires full visibility and real-time access to data for the producer, including classification results, weights, and corresponding values. The law further ensures that producers can challenge the classification through immediate arbitration by a qualified professional at no cost, thereby reinforcing accountability and dispute resolution mechanisms.