Concern about climate and politics

Concern about climate and politics
November 17, 2023 – 00:00

No operations until after the elections. Where it rained, sowing is accelerated. The feed lots are emptied. The Budget is worried about taxes, changes and fees. Climate alert in several provinces.

…that, with aweather alert for more than 7 provinces (due to storms, snowfall and strong wind), and trying to digest the announcements that, against the clock, the presidential candidates launched in the last hours for the countryside, the sector is preparing for crucial elections for the country in general, but also for the field in particular, both for what it means as a factor of economic multiplication “for the inside”, and for continuing to be the main generator of exporter currencies, with around 77%. And, while there is a dance of names, but without consolidated teams, nor consistent work for the new stage (everyone is looking for “contributions”), the agroindustrial sector does not hide its concern about climate risk, because of the markets, but much more because of the “official risk” that, in fact, has already triggered alerts in some municipalities, due to the proposals for new rates that the communal leaders intend. For example, a statement from the powerful CARBAP points out that “he sees with concern the project to increase the road rate, through the “tax for essential service” project in the municipality of Blue and the imposition of an extraordinary fee of the road tax proposed in Laprida.” According to the rural entity, “the increase in the road rate for 2024, which had been agreed upon in the assembly and was set at 180%, according to this draft tax ordinance would increase from 296% to 410%, extracting the sector about $5,000 million a year of working capital”, in the case of Azul, while in Laprida “the Deliberative Council approved a seventh extraordinary installment of the road rate due in December whose amount is staggered according to the surface area and ranges between $1,376 per hectare for fields of 200 hectares or less, at $2,439 per hectare for fields of more than 1,400 hectares.” The trend will surely try to expand to other areas and regions, which in some cases reaches the level of “internal customs” (prohibited by the Constitution) and, in all cases, means an exaction of productive capital. And all this, in addition, to the famous “offshoot” of the 2024 Budget that proposes some possible changes that would represent strong tax increases for agricultural production, if approved by national legislators.

…that, the dark clouds ahead do not end there. In fact, toIn addition to the risk of frost this weekend, in the south of Buenos Aires, and other climatic problems, the latest livestock data indicate that slaughter levels, which continue to be very high, reached 50% of the percentage of females, a level that is considered of “liquidation”, largely because the drought forced work to be brought forward to relieve the fields. The data also confirms the trend of a new reduction in stock, which will complicate the new authorities regarding internal prices for local demand. According to Ciccra, “The slaughter of females totaled 587.4 thousand heads in the tenth month of the year and was 20.3% higher than that registered in October 2022. In October 2023 the participation of females in the total slaughter reached 50.6% and marked a new historical record, while completing seven months above the upper limit of the interval that is consistent with the maintenance of the cattle herd. This means that we are in a liquidation of females that will compromise future production.” The dairy sector also faces a situation of liquidation of dairy farms that for many is almost “terminal.” According to the latest Coninagro “Traffic Light” for different extra-pampas economies, “rice in a crisis situation, and also sweet citrus fruits, the forestry sector, the pear and apple economies, and finally wines, are also among the most complicated.” and musts.”

…which, meanwhile, was also known the increase in the unemployment benefit for rural workers, which as of December will amount to $70,200 “and will be applied to the fees to be paid starting that month,” say the authorities of the Renatre (National Registry of Rural Workers). The minimum will also be $35,100. In the case of unfavorable areas, beneficiaries will receive an increase of 10% and 20%. Something more debatable is the obligation that regular payments to rural workers be made through bank deposits that, although they simplify the procedure for employers, are not always practical for workers, in cases where they work in establishments far from cities with banking entities and/or ATMs. There was also some unrest around INTA, based on certain political statements by its authorities, which were questioned by producers who understand that it is a technical organization, and that such expressions are not included in its purview. The organization precisely celebrated the 30 years of the Rural Change Program, created in 1993 by Engineer Felix Cirio who, apparently, was not at the commemoration, although some of his successors were. At that time, in addition, the proposal was accompanied by another program of high impact among producers. the ProHuerta. In both cases, although they continued, they suffered successive budget cuts.

Source: Ambito

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