Withholdings, Seed Law and labor reform, the axes of the meeting of the Liaison Table with the governors

Rogelio Frigerio (Entre Ríos), Martín Llaryora (Córdoba) and Gisela Scaglia (Santa Fe)

The Agricultural Liaison Table agreed today with the governments of Córdoba, Santa Fe and Entre Ríos on the need not to raise export duties that burden agricultural activity, reduce competitiveness and close external markets, and to promote a schedule of reduction in rates. of the tax. From these provinces, they considered giving their support to Javier Milei for the approval of the Base Law, although with the modifications required by each district.

In a meeting that took place in the afternoon at the Buenos Aires headquarters of the Agrarian Federation (FAA), and its president participated Carlos Achetonitogether with his counterpart from the Rural Society (SRA), Nicolas Pinofrom Rural Confederations (CRA), Carlos Castagnani and the vice president of Coninagro, Marcelo Federiciwho received the governor of Córdoba, Martin Llaryorato Entre Ríos, Rogelio Frigerio and the vice governor of Santa Fe, Gisela Scaglia.

From the field, they demanded to advance in ordinary sessions with topics such as the Seed Law, and there to prevent the government from adhering to the UPOV 91 agreement until discussing the issue in detail; the Labor Reform to facilitate hiring, stop the trial industry and the problem of labor conflict faced by agricultural SMEs; and also promote a new Bioenergy Law and a Federal Meat Law.

The meeting took place at the headquarters of the Agrarian Federation

After the meeting, Achetoni held a press conference that “withholdings are maintained” with the current rates in force, and assured that what the field hopes is to have an official proposal to reduce export duties over time to stimulate production of the Argentine countryside.

He also expressed that within the issues that are currently maintained within the Base Law, the Liaison Table views with “concern” the government’s decision to promote adherence to the 1991 Act of the International Union for the Protection of New Varieties of Plants ( UPOV). “We all agree,” said Achetoni, “that we must pay for the technology (in seeds) but we must also give ourselves the necessary debate and that this takes place in ordinary sessions. But there we see a serious danger to the official decision to adhere to UPOV 91, because this dilutes the possibility of promoting a reform of the Seed Law.”

“We spoke with the government about the Seed Law, there we have distant positions, but we hold meetings in all areas to be able to reach consensus. Ours is not to put spokes in the wheel,” Achetoni explained.

In the meeting with the leaders of the agricultural provinces of the center of the country, Castignani explained that the countryside “requests a calendar for the elimination of withholdings, and none of this is against the government of Javier Milei, but rather we mark where we believe they are committed. mistakes. The objective with the provinces is to begin working together on this matter and create trust, which is what the sector needs.”

The head of CRA also considered it necessary to modify the regulations imposed by the Central Bank that restrict or limit beneficial credits for those producers who retain more than five of the soybeans they produce. “This measure by the Central Bank punishes the agricultural sector when it comes to refinancing or taking out a loan,” explained the confederated ruralista.

Pino commented that “hearing the governments of Córdoba, Santa Fe and Entre Ríos say that they are against withholdings is something that is valued by the rural leadership, while, from the national government, they tell us that the economic situation prevents taking measures such as its elimination or reduction. And to do this, they need time. There the field needs clear signals, since this measure can have a beginning and an end, and it is good that we start talking about it.”

Federici explained that the withholding issue represents a “concern” for the agricultural sector and indicated that the continuity of this type of taxes “hits very hard on the profitability of companies in the interior,” and also explained that many “are driven out of the market.” ”.

However, Achetoni raised his doubts regarding the discussion that may take place in the Chamber of Deputies regarding export rights. “We understand that the chapter has been withdrawn and that the withholdings remain as they were before. I think they will stay there, but there are doubts because there are versions where it is said that the chapter is still within the ruling, which is why we are uncertain,” said the FAA head.

Pino also commented that “the issue of considering Argentina’s urgent need to carry out labor reform was raised before the governors; There we have agreed with the three governors with the Liaison Table that it is the way to generate employment and more investment in the country. And the idea is that Congress will address it when the regular sessions begin, along with a new Seed Law, Bioenergy Law, and a Federal Meat Law.”

Other agricultural leaders such as Elvio Guía, Marcelo Banchi and Andrea Sarnari (from the Argentine Agrarian Federation), José Colombatto, Javier Rotondo and Pablo Ginestet (Argentine Rural Confederations), Marcelo Espinosa (CONINAGRO) also participated in the meeting with the governors at the FAA headquarters. ), and Marcos Perda and Eloisa Frederking (for the Argentine Rural Society).

Before the meeting took place, the governors gave their opinion regarding the needs and interests of the agricultural sector, but also their position regarding the Omnibus Law that will be discussed tomorrow. Llaryora said that “it is important to maintain that Argentina comes out (of its crisis) with a fiscal program but also with a productive program: there Córdoba considers that the countries that progress are those that generate work and for this we must continue working together with productive sectors”.

“The economic situation is not only tremendously difficult in Córdoba, but throughout the country. We are experiencing an adjustment plan, with high inflation, a recession and a drop in sales of SME companies. Therefore, in the plan proposed by the national government, what the provinces need is to multiply investments,” said Llaryora.

He added that for this reason “we are going to accompany and provide a quorum to discuss the Bases law that Javier Milei’s government needs, we will accompany the norm in general and then proposing modifications that we consider are better for Argentina, clearly defending provincial resources. For us, the Country Tax is a 30% co-participatory tax that went to works.”

The Córdoba president, in addition to considering the labor reform to facilitate “the laundering of many black workers,” considered that “there are parts of the fiscal package that have been withdrawn that are necessary, since investments are being delayed: since there was money laundering capitals, a moratorium, personal assets, which I believe contributes resources to both the national and provincial governments. This could be brought back in now.”

For his part, Frigerio expressed that with the deputies of his political space they will “support and lend their shoulder at a very difficult time for the country” and considered that beyond the decision of the national government to remove the Fiscal Chapter of the Law Bases, “Argentina needs fiscal and economic reforms, and we hope that we can soon give the national government the tools it needs.”

In the case of the Country Tax, Frigerio stated “that there is an error in the explanation, since what the provinces are asking is not to participate but to distribute differently what was going to the national government, which cannot be defunded. And there to share it is to extract income from the national government.”

For Vice Governor Scaglia, Maximiliano Pullaro’s administration ratified the “commitment to the countryside and also to not increasing withholdings: it is important to always defend the production of our province” and tell the national government that “today the countryside has no resources, which is in debt, so we are not going to accompany any chapter of the Base Law that implies harm to Santa Fe.”

“We have the will – said Scaglia – to support the national government: who we want to do well. If he does well for Argentina, he will do well for all of us. But we propose that you cannot always put your hand in the same pocket. You can’t always take them out. Two years ago, the countryside suffered the worst drought in its history and no government was there to provide money or give credits or relief to livestock farming when cows died in the province of Santa Fe.

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