The Rural Federation once again demands greater competitiveness for the sector

The Rural Federation once again demands greater competitiveness for the sector
The Rural Federation once again demands greater competitiveness for the sector

The president of the group assured that Uruguayan agriculture should have greater insertion at the international level.

The Rural Federation once again demanded measures from the government.

Photo: Municipality of Rocha

The Rural Federation of Uruguay (FRU) once again raised the need to have greater competitiveness in the sector, as well as a higher insertion at an international level, a demand that is addressed to the next government that takes the reins of the country.

Last week the FRU issued a statement explaining the reality of the sector that obtained the support of various sectors of the country’s economy, as well as various political actors. “This is the situation of the sector. We know that those producers whose income is exclusively from the countryside and have a small or medium structure, suffer a lot,” explained the president of the union, Jorge Rodriguezto Channel 5.

Regarding the reality of the sector, Rodríguez assured that it was not what was expected “for different reasons in different areas” and that among the factors that contributed to this situation were the fluctuation of the dollar and adverse weather conditions, such as the drought and the autumn rains in excess.

However, he did not want to warn about a possible crisis, since he is far from facing that situation, although he stressed the importance of warning before reality worsens. “The first thing you do is try to get into debt to finance the company and the next process is to exit the activity. Are we far from that? Yes, we are far away, but it is the path that if we do not warn, we do not believe it is convenient,” he explained. .

“Agriculture in all sectors has made an enormous increase in productivity. And well, sometimes the conditions are not met and there is a combination of several things that mean that the results are not going to be what was expected,” concluded the president. of the FRU.

The notice

Last Wednesday, the rural union was pessimistic about the results for the closing of the year for agricultural companies on the 30th, where the annual economic result corresponding to the period from July 1, 2023 will be obtained.

In the letter intended for public opinion, the union points out that these factors go through the agro in general, in “its diversity of sectors and production systems”, hitting the economies of producers and their families squarely.

“The context that occurred during the year was one of high and increasing costs,” the letter continues, which points out a “very severe effect of the exchange delay prevailing”, already denounced on other occasions by the institution.

Likewise, “relatively low prices for our products due to a complex global situation” and “a level of production in the different areas without greater dynamism” are also noted. “The productivity of the sector is stagnant,” she emphasizes.

In that sense, they add that the excess rains that the El Niño phenomenon During the fall they caused “significant damage” that ended up negatively influencing the final result.

Source: Ambito

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