The Argentine Government to appease the pressure on the dollar. The tightening of the savings quota does not seem to change the drain on the BCRA’s reserves and that is why the real solution lies in the inflow of foreign currency from the exporting sectors. Logically here the field plays a leading role and that is why, as Ámbito advanced, the economic cabinet of Alberto Fernández raises the announcement of a battery of incentive measures, agreed with the Argentine Agroindustrial Council (CAA), so that agricultural producers sell about 18 million tons of soybeans for a total of US $ 7.2 billion that are still kept in silos.
Ministers Martín Guzmán and Matías Kulfas, at the explicit request of Alberto Fernández, opened a channel for dialogue with agro-export companies and the CAA. Two options were put on the table: a temporary reduction in withholdings or the payment of a bond tied to the price of soybeans. The first option is precisely the specific request that this same sector has been making, but the bond closes Guzmán economically.
Meanwhile, agro-export firms emphasize the worrying primarization of exports from the soybean chain and therefore appeal for a reduction primarily in export duties so that they produce value-added products, that is, oil and flour. As they explain, the year-on-year drop in soybean milling in Argentina reaches 22%, which implies US $ 2,500 million less in settlement. On the other hand, with differentiated aliquots, the milling could go from 38 to 44 million.
The Government seeks an accurate commitment from the export sector that the field will begin to sell off more, but here the will of the producer to sell his harvest comes into play and that opens another instance that the ruling party is willing to conquer with the hand of the project that it promotes the president of the Chamber of Deputies, Sergio Massa, for the reactivation of agribusiness.
Among the measures contemplated in this project is the possibility that producers deduct from Profits a percentage of 120% of the invoices related to the purchase of fertilizers, and 150% those related to insurance and controlled seeds. There is also a plan to exchange agricultural machinery, vehicles and implements, among other specific incentives that the field has been asking for for a long time and that are even among the points that the CAA motorizes.
In parallel, the long-delayed payments of compensation to small and medium producers, established in the Compensation Fund for the agricultural sector, which provides for a refund of export duties for farms of less than 1,000 tons of soybeans, which according to official calculations would be about 42,406 producers, equivalent to 74% of the total.
In this way, the Government, far from confrontation, seeks an ally to the countryside in this new stage of the economy that is already thinking about the post-pandemic and a 2021 with growth rates, according to the Budget Law that Minister Guzmán sent to Congress weeks ago