June 4, 2008

Argentina's farm strike extended

Argentina's farmers will extend a farm strike targeting grain exports until at least next Monday, farm leaders announced at a press conference Monday night (June 4, 2008).

Talks with the government broke down last week when the government canceled a meeting with the leaders after a fiery protest rally in the agricultural processing and export centre of Rosario. Farm groups estimated that 300,000 supporters gathered to reject the government's sliding scale export tax on grains imposed in March.

However, farmers will resume sending cattle to the domestic market to avoid shortages.

Farmers have sporadically blocked traffic in an on-again, off-again strike since March, causing food shortages in the cities and cutting off grain exports in protest against the new export rules.

The government modified the tax scheme Thursday, lowering the highest theoretical bracket. However, agricultural sector leaders said it was not enough.

"What we need for talks to resume are guarantees," Rural Confederation President Mario Llambias said Monday.