In order to support producer maize prices, a subsidy of 500 million of Brazilian Real (BRL), or about USD 220 million, has been approved by the Ministries of Agriculture and Finance to be used under the Producer's Equalization Payment Programme (“Pepro”), which is triggered whenever the market price falls below the guaranteed minimum price set by the Government. Maize is not directly purchased by the Government, which instead pays farmers or cooperatives the difference between the two prices. Most of the subsidy will be allocated to the States of Mato Grosso, Mato Grosso do Sul and Goias. The minimum guaranteed price varies by state and in central Mato Grosso is set at BRL 13.54 per sack of 60 kg or about USD 100 per tonne. It is expected that the price of about 7-10 million tonnes of maize will be subsidized this year, which compares with approximately 8.9 million tonnes in 2013, at a cost of BRL 449 million or USD 198 million.