MercoPress. South Atlantic News Agency
Argentina will take over soy-crushing giant, currently under administration
Argentine President Alberto Fernandez announced Monday evening a plan to seize crop trader Vicentin SAIC in a move that is anticipated will ring alarm bells in soy markets, among investors in the country and even the current foreign debt negotiations. Read full article
Comments
Disclaimer & comment rulesThere they go again ... what we all assumed and expected ... luckily millions of Argentines withdrew their funds in dollars from the banks as soon as Alberto Fernandez had won the PASO elections....
Jun 09th, 2020 - 03:07 pm - Link - Report abuse +3Oh dear, backed Macri did they, that will have upset Cristina.
Jun 09th, 2020 - 05:34 pm - Link - Report abuse +1This lot couldn’t run a piss up in a brewery and now they are going to run a large soy bean crushing business.
As part of their nationalised oil/gas business.
Instead of producing revenue, it will need subsidising.
Peronist Argentina is practicing to become the next Venezuela. Argenzuela?
Jun 09th, 2020 - 05:36 pm - Link - Report abuse +1We have moved almost all dollar assets out of the country, mostly to safer Chile. As the AR peso continues to collapse, curiously the CL peso is gaining in value.
Argentina isn't just going to have a massive recession for next year, but for most of the coming decade.
That's right pgerman. Never keep you money in an Argentinean bank. Never get stuck with pesos. Can't buy USD, buy BTC.
Jun 09th, 2020 - 06:31 pm - Link - Report abuse +2Pugol-H, Vicentin could turn into another “Aerolineas” which costs the taxpayers' a couple hundred millions a year to run.
Marti, I'll soon be fleeing to Uruguay.
My Argentine friend, who lives in San Juan, not only has his money offshore in Panama, but as well here in Chile. He finds it very convenient to pay his Chilean Banmedica health care insurance.
Jun 10th, 2020 - 12:34 am - Link - Report abuse 0He constantly laments that if land could be transferred abroad, Uruguay and Chile — both would double in size...
Argentina should be the 5th wealthiest country in the World as it was 100 years ago...
Well Chicureo, Argentina has been suffering from the longest pandemic in the world during these last 74 years. I assume you can certainly fathom who I am referring to.
Jun 10th, 2020 - 02:57 am - Link - Report abuse +1There's still hope. People at Vicentin's home town Reconquista, Santa Fe, has taken to the streets and surrounded the hotel where the “interventors” are staying. Looks like they won't budge until the govt. officials are gone. #ExpropiameEsta is trending right now.
Tarquinius Fin
Jun 10th, 2020 - 03:51 am - Link - Report abuse +1Many years ago when Presidente Menem had the historic and incredibly magnificent Llao Llao Resort reopened, I took my bride there and learned that the resort was never originally conceived as a profitable venture, but instead as a state sponsored resort for Argentine government officials and guests.
The entire country has always been that — one enormous cornucopia of wealth to be steadily plundered. And when they borrow beyond their means and then refuse to pay it back... Well who's fault is that?
Stay well my friend, and prosper...
@chicureo
Jun 10th, 2020 - 02:33 pm - Link - Report abuse 0“Argentina should be the 5th wealthiest country in the World as it was 100 years ago..”
--- That is patently impossible. The country is full of argentines.
And... thankfully— they reside on the other side of the majestic cordillera...
Jun 10th, 2020 - 03:50 pm - Link - Report abuse 0https://www.clarin.com/politica/argentina-cambia-monologos-tato-dilemas-hoy_0_YDR5wurQp.html
Jun 10th, 2020 - 05:23 pm - Link - Report abuse 0Tarquin Fin
Jun 10th, 2020 - 05:46 pm - Link - Report abuse 0Thank you for the memories!
My pleasure.
Jun 10th, 2020 - 05:53 pm - Link - Report abuse 0I see a whole bunch of Chicken Littles predicting the next fall of the sky on Argentina. Well, it may be so for some -- those who are involved with or simply admire those who are skilled in get-rich-quick-and-easy schemes.
Jun 11th, 2020 - 04:04 am - Link - Report abuse 0However, amid all the sky-falling contempt, I see little knowledge about what really is going on with Vicentin and the Alberto Fernandez' government.
None of the commentators here appears to know about the suspicious financial movements of a company that was thriving but appeared to free fall from last August on, that is from the moment the results of the preliminary election decidedly favourable to Alberto Fernandez became known. The company did not pay the farmers for their crops nor did it pay its many other creditors.
Nobody seems to care that Vicentin, which was one of the largest contributors to the 2019 Macri's re-election campaign, became the recipient of a large loan from Banco Nacion -- after declaring default, which of course is nothing but stealing public money. Earlier in the same year, Macri succeeded enacting a law making legal for companies to fund politicians -- rescinding a 2009 law enacted by the CFK government forbidding such contributions.
More importantly, Fernandez' move will prevent the take over of Vicentin by a foreign interests, or its breaking apart and its purchase by various entities, depriving Argentina of at least one domestic player in a field dominated by large multinational corporations.
To be consistent with his declared goals, Fernandez had to do what he did.
Enrique Massot
Jun 11th, 2020 - 01:23 pm - Link - Report abuse 0I assume you are a simply a fool, ignorantly blinded by the saintly glow of Santa Cristina and her flying Peronist monkeys — to give such a ridiculous analysis of what is — what was — and what will be — regarding the convoluted and complex soya crushing business under a corrupt Peronist government constantly plundering the profits.
We've seen this story played out before with a major Spanish petroleum company that was repeatedly buggered by your Santa Cristina and her flying Peronist monkeys...
By the way, speaking of outright wholesale theft of a nation's wealth — it's notable that of-all-the comments you populate on this news-site, you've yet to make one comment about your friend Nicolas Maduro...
¡Saludos de Chile!
Enrique Massot
Jun 11th, 2020 - 05:12 pm - Link - Report abuse 0Argentina has a very bad track record (as indeed do virtually all countries) at running state owned industries. As Mr Olé-Biscuitbarrel pointed out above, “Aerolineas” being a classic example.
There is no reason whatsoever to think this intervention will be any more successful.
With respect to Venezuela, OK I’ll start:
The fact is that whatever “political view” you take, right of left or indeed somewhere in the middle, life for the average person in Venezuela is FAR worse, Coronavirus excluded, than in Brazil or Chile and getting worse all the time.
All the more inexcusable in a country with the great abundance of natural resources that Venezuela has.
Tanker loads of refined petrol from Iran, really!!!
Mismanagement, corruption, stupidity and inefficiency on a truly staggering scale is needed to squander wealth on that scale.
Long before the end of Chavez it was falling apart, all non-oil related industrial production coming to a stop, chronic shortages of almost everything, inflation spiralling up where they were printing more and more money, when even at a time of relatively high oil/gas prices the revenues could not cover the spending.
Compare this to how the average Saudi lives, in the ultra-conservative Kingdom with the King as absolute ruler.
A country with few if any freedoms yet its people want for nothing, literally live like kings, in Venezuela such freedoms, like so much else, are simply non-existent.
Chicureo
Jun 11th, 2020 - 08:17 pm - Link - Report abuse 0So funny to see Chicureo's insistence that I must comment about Venezuela, its president and whatnot, yet appears disinterested in commenting about his own country.
Well, for Chicureo and all those wanting to know about Venezuela, they can read above a superb, unbiased account kindly put together by Pugol-H.
Meanwhile, Chicureo appears missing in action under these recent MP stories about Chile headlined:
• Chile passed the 50,000 mark for coronavirus infections
• Piñera admits Chile's health system in close to the very limit
• PAHO growing concerns with the accelerating pandemic in Brazil, Peru and Chile
• Uptick in domestic violence in Chile becomes politically controversial; women's minister forced to apologize
• With economic activity plunging in Chile, consumer prices fell 0.1% during May
• Chile reviews deaths' database, resulting in an increase in Covid 19 fatalities
• Chilean feminists reject the newly appointed Woman and Gender minister
Out of these seven stories, Chicureo has remained silent on six of them.
Why this apparent disinterest? I imagine that, for a supporter of Pinochet’s tragic 1973 coup d’etat it must be difficult to see that the model created over the blood of thousands of exiled, kidnapped, tortured, and executed Chileans begins to crumble.
Yet, Chicureo is all worked out against the Argentine government for attempting to rescue one of the key agribusiness export companies to ensure it remains as an asset for the country while preventing its demise or take over by foreign interests.
But once all is said and done, perhaps Chicureo will lull himself to sleep with a Viñedo Chadwick 2014.
Enrique Massot
Jun 11th, 2020 - 11:16 pm - Link - Report abuse 0Do you really understand how foolish your statements are?
Tarquin Fin attached a remarkable article and humorous video mix of one of Argentina's greatest humorists, but the article and the attached charts portray a very dark perspective of the financial disaster — of a once great country I've had always great affection for — (as long as they keep their kleptomaniac hands off my country.)
Argentina is like a Latin American version of the Titanic that has an enormous gash in its hull and quickly taking on frigid seawater — the frantic Peronist bucket brigade is franticly bailing water out during their impending doom — that's all-in-a-decades-long slow-motion. Hopefully, the sea has a shallow bottom. (Or perhaps it just will ignobly rollover like the unfortunate Argentine destroyer berthed at port.)
Take a look at the attached charts and honestly contemplate how Argentina will be able to keep up this Peronist Ponzi scheme with almost nobody stupid enough left to loan money to them...
My country will eventually re-emerge from this pandemic into a severe financial depression, but many countries on our continent will suffer a miserable economic depression. (Argentina has the natural wealth, but then again a corrupt governance and things are not looking as optimistic.)
Your simplistic embrace of the saintly glow of Santa Cristina and her flying Peronist monkeys sadly reflects your lack of Argentine reality.
Yes, I still do firmly stand unashamed with my prior statements about General Pinochet and despite his regrettable actions, his governance did save my country from a similar fate of Venezuela's current nightmare.
Piñera is managing very well!
(Oh, and by the way despite what you're reading in your dog-eared copy of Alinsky's 'Rules for Radicals' — your next door neighbor will re-elect their current President, and I'll gleefully remind you about your delusions...)
You are however correct about my enjoyment and preference for wine...
Estimado Sr. Massot...
Jun 13th, 2020 - 04:45 pm - Link - Report abuse 0Just let them neoliberals simmer in their own sour juices...
Evidently they have no real information whatsoever about what the Vicentin issue is all about.., just repeating their brainwashed “Baaaad State” mantra... (Tell that to them Norwegians about their Stat(e)oil.... ;-)))
But..., just to tease them liberal Turnips a bit..., I'm linking to a recent article of a famous collectivistic magazine from the big country up north..., they all admire sooo much...:
https://time.com/5851633/best-global-responses-covid-19/
(Spoiler alert...: The best is at the end...)
Chuckle..., chuckle...
Estimado THINK
Jun 13th, 2020 - 06:44 pm - Link - Report abuse 0Interesting reading and we could discuss the successful merits of CODELCO, but I enjoy souring Massot's superficial foolish prose.
I've decided this will one of the best years of my life... what remains left...
You may be right
I may be crazy
But it just may be a lunatic you're looking at
Turn out the light
Don't try to save me
You may be wrong for all I know
But you may be right*
Las Leñas, our favorite family ski resort, will not open for the 2020 season.
Our entire band of gypsies will be together celebrating the opening day of Valle Nevado on July 3. (Talk about seizing serendipity and who dares wins!)
Yes, everyone has been frightened in this horrible pandemic, and we may be crazy, but we're refusing to live in continuous fear. (Obviously we are observing rational safeguards and preparing our own cuisine.)
(*My regards to Mr. Joel)
Estimado subvicealferezalmirante Shileno...
Jun 13th, 2020 - 07:00 pm - Link - Report abuse 0Taking in consideration last week's exponenntially increasing Covid19 figures in Shile..., today's ~100% jump in the Shilean official death toll and the announcement that the popular Shilean health minister is renouncing his post to pursue his presidencial ambitions..., I Think you shouldn't be soooo sure about Valle Nevado opening on the scheduled date...
Just saying...
Estimado THINK
Jun 13th, 2020 - 09:26 pm - Link - Report abuse 0Well all is relative.
Mañalich promised the resorts could definitely open on July 3, but perhaps the new minister replacing him will change the decision.
Your country has taken a very prudent course and I sincerely hope Fernández's caution will save lives — but I think the cure may cause more damage than the virus itself.
The economic devastation will be brutal to the poor and lower middle-class. What has been surprising is how the lives of the really highly successful has collapsed like a house of cards. (Madame's friend has been exceptionally busy repossessing luxury vehicles. Before she abandoned her insolvent boyfriend, her only concern was shopping in Miami.)
All I can do today is worry about my family. Thankfully the little ones seem far less susceptible. We are aware that this evil virus is deadly, but we've decided to live life with moderate precaution. There are many unexplainable deaths because our world health experts still have not unraveled this complex pandemic.
Whatever my rank, I still receive a pension and benifits. If I do financially loose everything — I'll still survive. Health is the most important.
Think
Jun 14th, 2020 - 09:26 pm - Link - Report abuse 0Interesting Times story!
I am so glad to see Argentina shown for one of its accomplishments for a change. I liked the following paragraph:
”(The government's) desire to take care of their people and the decision to divert resources from paying debt to do so—even at the risk of looming financial collapse—has been the best choice among bad alternatives.“
However, I could not help but note some prejudice in the Times that comes back to the old stereotype: ”Those crazy Argentines are again electing a populist government.“
Look at the way they described emergency funds distributed to the population:
”Fernandez (alongside his vice president and former president Cristina Kirchner) are Peronists who subscribe to more leftist economic policies, and true to their ideological roots, offered low-paid workers a 10,000-peso lump sum to help them weather the crisis.“
About Canada, where I reside and another lead country in coronavirus response, the story mentions ”fiscal and monetary measures“ but do not talk about ”populism“ behind a decision to grant a CAN $2,000 a month allocation to those who lost their job due to the pandemic.
Being so similar to the USA and yet so different, it was nice to see this difference acknowledge in the Times story:
”Be that as it may, it’s hard not to conclude that Canada’s universal, publicly-funded approach to healthcare isn’t better suited for handling a global pandemic.“
”Combine that with significant fiscal and monetary measures taken by Canada (one of the richest countries in the world, and one that values social safety nets at that).”
I was happy to read that Greece did well facing the pandemic, a country that did not need this natural catastrophe on top of the man-made, economic one.
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