March 27, 2008

Argentina's farm rebellion starves capital of beef and chicken

Residents in Buenos Aires would soon be facing a shortage of beef and chicken as farmers choked off supplies to the nation's capital to protest tax hikes on farm exports.

The standoff looks set to continue as President Cristina Fernandez declared she would not back down on the move to raise taxes even as a nationwide strike halted production and sales in the country.

Fernandez announced her government would not grant concessions to striking farmworkers, vowing not to "give in to extortion."

Argentina has the world's highest per capita beef consumption.

Milk, chicken and cooking oil are running out in the city as strikes over the hike in soy export taxes continues. The tax on soy exports would be raised from 35 percent to 45 percent, with smaller increases on corn and other farm products.