MercoPress. South Atlantic News Agency

Grain truckers' road blocks strangling Argentine economy

The grain truckers strike in Argentina who are blocking major roads in the country and on Thursday evening confirmed the industrial action are causing major food and fuel shortages in cities forcing cuts on public transport and higher prices in stores.

The president of Argentina's Federation of Bakeries Ruben Salvio warned that flour is being rationed to bakeries and new hikes are on the line as bread and other products become scarcer. The situation was already complicated because of the farmers' protests "but now with the road blocks from truckers it's totally out of control with half the mills closed and only the larger ones working, which is not enough", added Salvio. The Dairy Chamber from Buenos Aires said that there's a growing shortage of dairy produce, with smaller shops and supermarkets unable to replenish stocks. The chamber admitted that fresh milk is already missing and it is estimated that over 2 million liters can't make it to the processing plants because of the road blocks. Argentine television has given ample coverage to the tankers forced to dump the milk in ditches along the highways or in the middle of fields. Fuel is also absent from many service stations all over Argentina because tankers are impeded from circulating plus the fact that oil corporations apparently are taking advantage of the situation exporting gasoline and diesel at higher values instead of supplying the domestic market at frozen prices. The grouping which coordinates Argentine Food Industries warned about the "serious consequences" if the current road blocks continue. In an official release made public in the media the organization anticipates a "manufacturing activity paralysis, plus logistic difficulties, if no solution is found in the coming hours". Grain truckers took to roads and highways following the end of the farmers' protests last Monday, another conflict which remains in a stand off after 93 days. Truckers argue they have been out of work for three months as a direct consequence of the farmers' decision to impede circulation of trucks with grains and oil seeds to protest a system of sliding export levies imposed by the government last March and described as "confiscatory". In spite of having lifted the ban on circulation of trucks with grains, farmers are retaining crops and trade in the main markets is far from returning to normal. "Until the government and the camp sit down to talk and fix this mess, we're not moving from the road blocks", said Ruben Agugliaro, president of the truckers union. "Our people are very annoyed. This must be over by next week. Let the government yield a little bit and farmers also yield a little bit so we can all get back to our trucks and begin working", added Agugliaro. Truckers are blocking the main road networks of the leading farm provinces in Argentina Buenos Aires, Santa Fe, Córdoba, Entre Ríos and La Pampa. Cabinet chief Alberto Fernandez said the government is following the conflict closely and blamed farmers for all what was happening. "Look at the enormous damage you have generated with your lock-out on the country's economy", said Fernandez. However he said that "food is not missing in Argentina, what is happening is that food can't reach destination because some people have taken on them to obstruct". "When you see thousands of liters of milk dumped, you feel an enormous frustration and fury because in Argentina many children need milk and can't have it", he added. But Fernandez also underlined that "there's nothing more to talk about with farm leaders". "President Cristina Kirchner has said it clearly: we have to look forward, turn the page and begin to discuss other important issues for Argentina".