MercoPress. South Atlantic News Agency

Argentine grain, beef farmers extend protest; diary joins

Argentine farmers protesting higher grain and oilseeds export taxes have decided to extend their two days strike until next Wednesday because there has been “no signals or reply from the government” to their request to meeting authorities. Dairy farmers announced they were joining the strike.

The protest which basically referred to no beef or grains trading was considered a "success" by the main Argentine associations behind the demonstrations given the extent and support received "all over the country". All Argentine major grain and oil seed markets remained closed or simply did not operate. "Demonstrators from all over the country asked us to extend the protest, because this is a way of telling government that their contemptuous attitude towards the camp and farmers that this attitude only leads to failure and misery for the whole community" said Nestor Ruolet, vicepresident of the Argentine Rural Confederations. Some dairy farmers already begun protests blocking late Friday some of the milk plants which have been threatened by the Argentine government not to increase the price of milk paid to farmers in spite of world soaring prices. "This is plain confiscation on farmers, it begun with beef, followed with milk and dairy produce and now extends to all grains and oilseeds", said Ruolet. Protesting farmers said that the whole oilseed industry, which crushes soy and sunflower seeds to extract cooking oil and pellets for animal feed, has decided to join the demonstration. The latest sliding export levies have been established at 44.1% for soybeans; 39.1% for sunflower; 27.1% for wheat and 24.2% for corn. Some reports on the demonstrations included blocking a major highway between Buenos Aires and Rosario (soy bean capital) with tractors and other farm equipment. No violence was reported, but one blockade on a rural highway in Santa Fe province backed up scores of trucks and cars for miles kilometers before it was lifted after several hours. Other protests were reported in Cordoba's dairy cattle region, where a march of 1.900 tractors and 80 harvesters was launched for several hours in the provincial capital which has a population of 1.8 million. Buenos Aires livestock market in Liniers also suffered with an entry of only 2.000 head of cattle, which is below 20% a normal day. Besides and maybe taking advantage of the situation most of it was discard cattle. The 48-hour strike was launched Thursday after President Cristina Fernandez de Kirchner's government announced plans earlier this week to impose a sliding scale of higher taxes on grain exports. Cabinet Chief Alberto Fernandez went on radio and urged the strikers to halt their protests. He noted soaring commodity prices on grains worldwide have brought a windfall and boom time for the farm, adding "there' no way they can't lie: the farms are doing very well." He noted that some 45,000 farmers were at risk of losing everything half a decade ago after the deep 2002 economic crisis. But now, he said, their sector has bounced back sharply and is one of the leading edges of a recovery in which the Argentine economy has grown by more than 8% annually for years. Fernandez insisted that because beef and wheat prices have soared internationally this does not mean "that Argentines have to pay prices of countries which don't produce commodities, just to benefit a few señoritos". He recalled that five years ago farmers "came crying to government asking for debts to be refinanced, and we did, we saved them, and this is the reply we get now". Fernandez said the value of soy has gone up 90% in the last twelve months, sunflower has doubled "and we've only established a four year horizon to contain the ups and downs of farming. The camp hasn't had it so good in the last thirty years. The value of land has soared four and five times", However rural organizations charged they were being unfairly taxed at heavy rates that risked undermining dairy farms and other rural businesses.