It should be remembered that the Argentine Wheat Stabilizer Fund was established in March 2022 with the purpose of guaranteeing a reference value in the domestic market.
This measure was adopted in order to maintain stability in the share of the flour bag as a component of the cost of the products derived from it.
Through Resolution 142/2024 eissued by the Ministry of Economy, Decree No. 132 dated March 19, 2022 was eliminated, which created the Public Trust Fund called “Argentine Wheat Stabilizing Fund ”. This fund was created with the objective of stabilizing the cost of a ton of wheat purchased by Argentine mills.
The standard that bears the signature of Luis Caputo, in charge of said portfolio, revokes a trust contract signed on April 7, 2022 between the former Secretary of Internal Trade and BICE Fideicomisos SA. In this way, Progress is being made with one of the Government’s main objectives in its mission to cut public spending.
The official text states that “The conditions that motivated the creation of the Argentine Wheat Stabilizing Fund are not present at the current time”. Therefore, it is considered necessary to revoke the trust agreement.
Clearance process
- The trustee (BICE FIDEICOMISOS SA) will be notified of the revocation of the contract.
- The SECRETARIAT OF COMMERCE of the MINISTRY OF ECONOMY will be in charge of the liquidation of the fund.
- The Liquidation Reserve Fund will be used to cover remaining expenses.
- The remaining trust assets will be transferred to the MINISTRY OF ECONOMY.
According to official information from the Argentina.gob.ar site, the Argentine Wheat Stabilizing Fund was established in March 2022 with the purpose of guarantee a reference value in the internal market. This measure was adopted in order to maintain stability in the share of the flour bag as a component of the cost of the products derived from it.
In addition, it is specified in the online source that all the trust resources are intended to subsidize the 25 kilo bag of 000 common flour. This bag is acquired by bakeries for the production of bread and for use in second industrialization.. It is also used by mass consumption companies in the production of cookies, sliced bread, empanada tapas, among other products. These companies, for the most part, are part of the Fair Prices program.
Source: Ambito
