Day: July 17, 2020

Agribusinesses present plan to export $100 billion

Argentina’s agro-export chain has created a coalition that will promote a plan called “Strategy for an Inclusive, Sustainable and Federal Agro-Industrial Export Reactivation”; to increase exports from $65 to $100 billion between 2020-2030. It will generate more than 210,000 new jobs. The plan has the support of more than 40 entities, among which are Ciara-Cec, the milling industry, poultry producers and exporters, feedlots, wet milling of corn, peanuts, biofuels and the Buenos Aires Grain Exchange.

The conflict between Truckers and Free Market affects sales of 4,000 SMEs

The Mercado Libre e-commerce platform denounced a blockade of five distribution centres by the Truckers’ Union. It puts at risk the delivery of goods stored in the warehouses. The conflict affects the distribution of packages of more than 4 thousand SMEs directly and another 80 thousand that also require the distribution centres to operate to generate income, something that during the quarantine became even more necessary.

June closed with a 3 point GDP deficit

The national public sector registered during the first half of the year a primary deficit of $911,124 million equivalent to 3.3 points of GDP, reports the Congressional Budget Office (CBO). The programs that the Government had to implement to attend the health emergency derived from the COVID-19 pandemic represented 449.74 billion pesos ($6.3 bn). According to economists, the public sector deficit projects at a record of between 7 and 8 points of GDP, which would only be manageable if the Country debt front, both local and international, is closed; an agreement reached with the IMF; and an economic program is put in place to compose the activity and improve tax revenues.

AFIP tightened control over foreign assets

The Federal Administration of Public Revenues (AFIP) today tightened its control over the assets of Argentines abroad, through a series of changes in criteria on personal property tax. In December 2019, it established that assets abroad should pay taxes at a rate of 2.25%. The rule indicated that it should be paid by those who had tax domicile in Argentina. Now, the AFIP established a series of modifications so that eventually the loss of residence in Argentina would not be argued by processing only the cancellation of the tax domicile.