At the same time, he announced that A “credit line for $8,000 million at a subsidized rate for the milling industry” will be launched with the aim that the mills accelerate the purchase of wheat to produce flour but avoid “a massive transfer of prices to the table of the Argentines”.
“The decision to form the trust to support the price of wheat is framed in an international scenario of turbulence”, Kulfas pointed out at a press conference at the portfolio’s headquarters, in which he specified that he seeks to compensate the sector so that flour producers have the product at February prices, since “doing nothing is validating that increases in the value of wheat are transferred to the price of key products on the table of Argentines”, explaining the measures adopted to contain inflation.
In this sense, he explained that “If there is no compensation measure, the more expensive wheat means more expensive bread, flour and noodles, products that make up the table of Argentines.”
The trust will be funded with the increase of two percentage points of withholdings that are applied to exports of soybean meal and oil, announced last Saturday by the Minister of Agriculture, Livestock and Fisheries, Julian Dominguezhe specified.
“The flour mills are going to be compensated so that they have a compensation equal to the price they had in February and ensure that bread and other products; it is a mechanism to prevent this shock in the price of wheat from affecting the table of the Argentines”, said Kulfas, while stating that “Wheat producers are not going to suffer any damage.”
On the other hand, in reference to the meeting they held this Monday morning with leaders of the Coordinator of the Food Products Industries (Copal) and the association of supermarkets and wholesalerssaid it was “constructive” although “it had some moments of tension because there was a kind of denial” by businessmen about “speculative” increases in recent days.
“In 24 hours it will be clarified what is the responsibility of the industry and intermediaries and the prices that have been adopted in an unjustified manner have to be rolled back to March 8 or 10, which have to do with the Care Price schemes implemented by the Secretary of Internal Trade”, assured.
“Later there were much more important increases and that we are not willing to validate, that is why we also told them that all the prices increased after that date should be rolled back and, if there was a difference, that it be duly explained and that is why these 24 hours of impasse to keep talking,” he added.
Finally, he said that the Government “I bet that these dialogues end fruitfully” but that “if there were to be any shortages, we will not hesitate to apply the Supply Law as we have done on other occasions.”
Source: Ambito
David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.
