The president of the Chamber of Industries of Uruguay, Fernando Pache, criticized that they were not included in the discussion. He warned that the situation is worsening for the present in Argentina.
The president of the Chamber of Industries of Uruguay (CIU), Fernando Pache harshly criticized the government after the approval of the 17% increase in port fees for Cuenca del Plata Terminal (TCP)as long as he understands that it is the recognition of the exchange rate delay that the country has, which strongly affects the competitiveness and, therefore, to the exporting sectors.
“This started in June with a notification to exporters or port users of an increase of around 24%. We, evidently, were highly astonished because, apart from everything, that notification determined that it was for the exchange rate delay”, Pache maintained in the framework of the talk given by the former Argentine president Mauricio Macri, organized by the Development Studies Center (CED) and of which Ambit He participated.
“Now that 24% becomes 17% and has the support of the Executive Branch,” he added, recalling that the exchange rate delay is an issue that exporters have been putting on the table for a long time, due to the lack of competitiveness generated by the weakening of the dollar —or strengthening of the peso— in relation to the main competitors in the region and, particularly, with Argentina. On top of this, in addition, now a higher value of the port tax is added, which exporters understand as a way of charging a new cost on their shoulders, product of the misalignment of the real exchange rate.
Along the same lines, for the president of the CIU, the approval of the increase by the government —which, moreover, is a minority partner of TCP, while the National Administration of Ports (ANP) owns 20% of the company, while the Belgian company Katoen Natie has the other 80%—it’s a covert acknowledgment about the exchange rate delay
“This rate increase determines two things: that we have no control, we are not part of the dialogue, but they impose a condition on us; That is something quite annoying, on the one hand,” said Pache, with an unusually harsh tone when talking about the Executive Power, adding that, “on the other hand, if really Katoen Natie with the letter that he presents from 24% in June, it turns it into 17% to date, the government endorses it, and that letter had an argument of an exchange rate delay of around 24%, we understand then that the government endorsed that there is an exchange rate delay of 17%and the truth is that the issue has us very concerned”.
Fernando Pache
Photo: Mauricio Zina/ adhocPHOTOS
Argentina effect: industrialists await positive signs in a negative context
Asked about how it could affect the economic situation in Argentina about Uruguay, in general, and the Uruguayan industry, in particular, Pache maintained that they do not expect worse negative effects of those who already experience local exports to the neighboring country with the currency gap that, although prevalent, “is increasing dramatically” after the triumph of javier milei In the elections Simultaneous and Compulsory Open Primaries (PASO) from last Sunday.
In this sense, the president of the CIU clarified that “at times the situation becomes worse and worse”, and that a internal price adjustment in the Argentina “Which also leave us in a very difficult situation.”
Despite this, or because of this, Pache expressed that “we are hoping that something can happen in favorof the different obstacles and the import control systems of Argentina that “they don’t have permanently hacked”.
Source: Ambito
