MercoPress. South Atlantic News Agency

Argentina to create yet another dollar exchange rate

The new conversion rate would apply to exports of fruit and wine from regions affected by adverse weather such as Cuyo, Massa said

Argentina's Superminister of Economy, Industry, and Agriculture Sergio Massa Monday announced the creation of yet a new parity between the local currency and the US dollar to be applied to regional economies.

After his successful implementation of the so-called “soybean dollar,” through which exporters turned in the revenues from foreign sales into the local financial market, Massa announced a special dollar for exports from regional economies to be applicable between Nov. 20 and Dec. 30.

The measure would generate funding for the national government to keep the exchange rate between the Argentine peso and the UN dollar under control during the Qatar World Football Cup and ahead of the year-ending holidays.

The new rate would apply to fruit production and vineyards affected by adverse weather, such as the last frosts that hit Cuyo (Mendoza, San Juan, and San Luis)and several other regions.

“We have made the decision to work, in parallel to the credit system and non-refundable contribution, with an Export Promotion Program, just as we did with other value chains [soybean]. We are going to do it from November 20 to December 30 with all regional economies, with two conditions,” Massa said Monday in Luján de Cuyo, Mendoza.

He insisted on the need to work together “regardless of political flags.” Those interested in the new exchange rate will have to join the government's “Fair Prices” and “producers' protection” programs in the next few weeks.

“Secondly, we aspire that all the members of the value chain of regional economies participate in the Fair Price program, to guarantee supply and domestic market in Argentina so that the effort that the State will make will not only reach the producers who benefit from the measure but also the table of all Argentines,” Massa stressed while launching an assistance plan for regional economies through Non-Refundable Contributions (ARN) to provinces affected by the frosts, in addition to zero-rate Banco Nación and Banco de Inversión y Comercio Exterior (BICE) loans.