This year 57 grain – bags were destroyed, with potential losses of $3.5 mn

The violence against rural private property has increased in recent weeks with broken grain-bags. Since last December and to date, 57 broken grain-bags, which can store up to 200 tons of soy, corn and wheat, among other grains, there is a total of 11,400 tons affected, of which 1,710 tons would be lost.The criminals throw chemicals on the grain, causing total damage to it, there the loss would reach 60 thousand dollars per bag, so the potential losses would have reached 3.5 million dollars.

The tax rate is up to 58.7% of the workers’ income

The work carried out by the Argentine Institute of Fiscal Analysis (Iaraf) explains that a formal salaried worker in Argentina should work between 181 and 214 days in 2020 to comply with the tax obligations of the three levels of government, depending on their income. By August 1, the national, provincial and municipal levels will have taken up 58.7% in the higher income bracket.

In the first quarter, the total income of the population grew by 49.6% year-on-year

The distribution of income registered a slight improvement in the first quarter of the year, 1.1 % compared to the end of 2019. Distribution deteriorated by 0.6 points year-on-year, according to official statistics, and the weakest sector of the population had incomes 23 times lower than the richest. The Gini coefficient, which measures the degree of inequality through income, stood at 0.444 in the first quarter of the year. The total revenue of the population grew by 49.6% compared to the same quarter in 2019.

Fall of the Argentine economy in the first quarter was 5.4% of the annual GDP

Some 100,000 businesses will not survive the pandemic, and the drop in hotel and restaurant activity (83% in April, 83% in May and about 79% in June) makes one fear a massive closing in Buenos Aires. The Argentine Social Debt Observatory estimated that this year up to 900,000 people in the informal sector would lose their jobs, and child poverty will rise from 53% to 58.6%. UNICEF said that since the beginning of the quarantine, 59% of households (approximately 15 million people) have seen their income fall. More than half of private wage earners received up to 75% of their pre-pandemic wages.

2.4 million people bought dollars in May

About 2.4 million people bought dollars in May for savings, twice as many as in April. Net foreign exchange purchases were $534 million, and average per capita purchases were $190. International reserves decreased by $980 million in May, according to the Central Bank’s Foreign Exchange Market and Balance Sheet Report.

Corn planting in the 2020/2021 season could fall by 10%

While the 2019/2020 corn harvest is progressing, where it has reached 78.3% so far, the Rosario Stock Exchange (BCR), less than three months before the beginning of the planting, projected a drop in the area in the order of 10%. The reasons are the increase in costs, inputs and freight, but also climate and economic uncertainty.

Estimated 20% drop in the economy

Analistas privados prevén que el derrumbe en términos interanuales oscilará entre 18,5% y 23,5%. Según los indicadores oficiales que se conocen del cuarto mes del año, la utilización de la capacidad instalada en la industria se ubicó en el 42% y el Índice de Producción Industrial, arrojó una caída del 33.5% interanual. Así se estimó que la economía cayó 19.2% anual en abril, con una contracción del 9% con respecto a marzo.

$1.5 bn separates Fintech and Gramercy from an agreement with Argentina

The claim of the members of the Creditors Committee is today at 53% of VPN against 52% offered by the country; it is between $1 billion and $1.5 billion. Fintech, Gramercy and Greylock are approaching a deal with Argentina. They adhere to two clauses that in the eyes of the government may be negotiable: the mandatory redemption and the application of an extra 2% interest if Argentina falls into default again during the entire life of the bonds issued in this restructuring.

May’s trade surplus was $1.89 bn

The trade balance marked a positive $1.89 billion in May, although trade flows fell 23% year-on-year in May, reaching only $8.25 billion. Exports of agricultural manufactures showed falls of 5.5% while industrial productions plummeted 52.7% and Fuels fell 40% year-on-year. Increased demand for farm products from China reduced the sharp drop in exports. On the imports side, there were drops in all items for the seventh consecutive month: Passenger vehicles -76% year-on-year, Fuels and lubricants -59%, Parts and accessories for capital goods -49%, Capital goods -31%, Intermediate goods -16% and Consumer goods -8%.