April 26, 2022

Thousands of Argentine farmers hold anti-tax protest

Thousands of Argentine farmers held an anti-tax protest in the country's capital against President Alberto Fernandez, as the agricultural industry criticised his policies to stop rising inflation by restricting food prices, Reuters reported.

Fernandez has intervened in the grain and meat industries, restricting the amount of meat farmers may export at one stage in order to prioritise domestic supplies.

The farmers also wrote a letter to the government outlining their demands for tax reductions.

It is rare for farmers to stage a protest in Buenos Aires as they normally do so in rural areas.

Taxes increased during previous President Mauricio Macri's conservative administration and have continued to go up under Fernandez's socialist administration. Wheat and corn exports are subject to a 12% tax, which climbs to 33% for soy, flour, and cooking oil exports.

Argentina has struggled for years with extraordinarily high inflation, which remained above 50% in 2021, making food policy a particularly tricky challenge for the administration.

Farmers have also opposed curbs on meat exports in the last year, which Fernandez subsequently loosened.

-      Reuters