In a statement, the entity that brings together the Rural Society, Rural Confederations, Agrarian Federation and Coninagro referred to the intention to form trusts and indicated that “these instruments would not be necessary if there were no permanent interventions and price fixing by the Government , if you could work freely on supply and demand, if you had access to the prices that exist in reality”.
“We believe that this trust proposal would be a covert holdan alternative that the Government wants to impose to the increase in export duties that was ruled out after the non-approval of the 2022 Budget,” they continued.
It was expected that in this 2022 the exponential rise that commodities had in 2021 would moderate, but in the midst of the geopolitical crisis in Ukraine, there is uncertainty about whether the rises could return. That is why Feletti insists on “decoupling” the domestic price from the international one.
For this, the next measure will be the launch of a wheat trustand for a second stage, the corn. It will consist of an intra-private sector subsidy, in which the companies will subsidize the prices of dry noodles and flour. Although Feletti urged the private sector to have it ready, due to some short circuits it would only arrive in March.
“There were no instances of explanation about how either of the two trusts would work or what amount is being collected, or how many tons are intended to be subsidized for the mills -in the case of wheat- and for the producers of beef, pork and of chicken – as for corn”, raised CEEA before the government proposal.
“We believe that, if this measure succeeds, it would be another fiscal bite to the producer, another tax to try to hold the scaffolding that is falling to pieces of interventions and price fixing unilateral. The field no longer accepts any of this, so we ask officials to reconsider their proposals and possible actions,” they concluded in a joint text.
Source: Ambito
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