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Argentina. Grain export tax
09.08.2010 09:34 "Agro Perspectiva" (Kyiv) —
Dissident Peronist deputy Felipe Solá came up to stage to give his word on the farming products export tax duties, a matter the deputy considered to be «a fight between the tax collecting agency and the farming sector», and his absence during the Rural Society’s (SRA) farming products exhibition’s official inauguration, where SRA’s boss Hugo Biolcati gave a controversial speech.
Asked about the extraordinary production and sales boom that soy has been experiencing for the past years, which seems to be one of the main causes that triggered discrepancies between the farming sector and the government, Solá said, «Soy is the easiest crop to grow and the cheapest one, plus it represents lower risks compared to maize. But soy is only profitable at its current price.»
Nevertheless, Solá remembered that «the government should agree with us on the idea that export tax duties for wheat, maize, sunflower, and sorghum should be eliminated.»
Solá also said to believe that the constant expansion of soy fields in the country, which go against the growing of some other farming products, can be controlled by «lowering its profit rates while incrementing the rates of maize», and added, «There are two agriculture businesses in Argentina, the one lead by the land owner, and then the activities run by that who rent a piece of land, the latter was the one that touted for the strikes and road-blocks of 2008.»
Asked about the impact that the farming sector’s conflict may have on prices, the former governor of Buenos Aires province toned down the concerns raised among bread bakers, and stated «They should not worry. The ONCCA farm trade control agency is doing its job and granting logical prices for everyone, both bakers and cosumers.»
When asked about his absence at the Rural Society’s farm fair, the Deputy was straight: «I haven’t visited the fair nor the inauguration ceremony because I don’t agree with the SRA’s speech and the ideological line it follows. The same happened to me last year, when I didn’t attend to the official inauguration either, and Biolcati’s speech was way worst than the one he gave last Saturday.»
To conclude, Solá said: «I think I have the right to decide which political speech I want to listen, and unfortunately the Rural Society members belong to a small social class that has always had this ideological speech that attacks politics and governments.»
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