This Saturday, July 26, the 137th Rural Exposition reaffirmed its place as one of the central events on the Argentine agro-industrial calendar. Organized by the Argentine Rural Society (SRA), the show—which takes place at the Palermo fairgrounds—brings together 4.500 animal exhibitors and has already attracted over 1.300.000 visitors.
The opening ceremony, led by the head of the SRA, Nicolás Pino, and the President of the Nation, Javier Milei, was attended by representatives from the public and private sectors. In this context, new developments were announced that directly impact Argentine foreign trade, such as the permanent reduction of export duties (commonly known as retentions) for some products from the agro-industrial complex.
As usual, the exhibition not only showcases the best of genetics, innovation, and technology in the national agricultural sector—one of the historical drivers of the country's exports—but also serves as a strategic space to highlight the priorities, demands, and proposals of the agroindustrial sector, especially in the areas of tax policy and foreign trade. These include:
🟦 Nicolás Pino: "With clear rules, the countryside can double its production"
In his speech, the head of the Argentine Rural Society focused on the conditions necessary to boost the competitiveness of Argentine agriculture in international markets, with particular emphasis on aspects that directly impact export operations:
(I.e.Total elimination of export withholdings: Pino described the export duties as “a scourge for the common good" and a "unfair, confiscatory, and discriminatory tax that discourages production". He stressed that if they were removed, "The State would also benefit, because it would collect more through proportional taxes.”. While acknowledging partial reductions in certain sectors, he reaffirmed the commitment of the countryside to reach “zero withholdings".
(I.e.End of internal customs and tax overlaps: He reported that “Internal customs have been prohibited by the Constitution for 162 years and they still exist.”, and called for the elimination of provincial and municipal taxes that hinder logistics and trade.
◾Iefficient logistics infrastructure: He stressed the need for urgent investments in the road and rail networks and in the Paraná-Paraguay waterway, highlighting that “The delay in waterway maintenance damages the competitiveness of Argentine products.".
(I.e.Modernization of SENASAHe called for a transformation that would reduce bureaucracy and political influence so that the organization could guarantee health statuses that facilitate opening and consolidation in high-value markets.
Mr. Pino projected that, with adequate conditions, agriculture could double its production and significantly increase the value of its exports, reiterating that “The countryside is a strategic ally for Argentina".
🟦Javier Milei: "Lowering taxes and trading is doing our part."
President Javier Milei participated for the second time as head of state in the opening ceremony of the Rural Exposition. From the central stage of the Palermo fairgrounds, he celebrated the revival of the agricultural export sector and thanked the Argentine countryside for its efforts: "In 2024, beef exports exceeded 9.000 tons for the first time in more than a century. This isn't magic: it's the result of your work and that of a government that's beginning to take its foot off the State's back.
Although he acknowledged the difficulties of the transformation process, he was categorical: “We know that the path to economic freedom is difficult, but it's the right one. The state has ceased to be an obstacle and has become a guarantor of clear rules.".
Throughout his speech, he listed the measures adopted by his administration, many of which directly impact foreign trade. Among them, he highlighted:
(I.e.Permanent reduction in withholdings: one of the most anticipated and strategically important announcements for the agricultural export sector. In Milei's words:Withholding taxes are immoral, a tax aberration, and a punishment for producers. Their existence has no justification in a country that wants to grow.During his speech, he detailed the new export duty rate scheme, that leave behind the temporary discounts applied months ago back to establish a framework of greater predictability. Namely:
- Beef and poultry: from 6,75% to 5%
- Corn and sorghum: from 12% to 9,5%
- Sunflower: from 7,5% to 5,5%, and in some cases to 4%
- Soybean: from 33% to 26%
- Soy by-products: from 31% to 24,5%
- Wheat and barley: The previous temporary reductions are now transformed into permanent ones
These casualties represent an average reduction of 20% for grain chains and 26% for the livestock and meat chain. President Milei highlighted its direct impact on Argentine competitiveness: “The reduction in withholding taxes is not a gift: it's an act of justice. We want producers to compete on equal terms worldwide, without being penalized by the State itself..
(I.e.Elimination of the exchange rate restriction and the PAIS tax"We eliminated the PAIS tax and began lifting the CEPO (Financial Control Tax). With this measure alone, we returned up to 30% of profitability to producers, without the need for subsidies or perks.".
(I.e.Facilitation of imports of strategic inputs"We have re-authorized the import of used agricultural machinery, reducing costs by up to 50%, and we have facilitated the entry of fertilizers by eliminating absurd tariff barriers.".
(I.e. Opening new markets: "We have opened the export of live cattle and liberalized the market for foot-and-mouth disease vaccines, which better positions us to meet international health demands.".
(I.e.Reforms in SENASA and regulatory simplification: "We're completely streamlining fruit and vegetable production, removing SENASA from tasks that aren't its responsibility. We want it to focus on technical standards, not administrative hurdles.".
(I.e.Rural connectivity via Starlink: "Thanks to the introduction of Starlink, many producers in the deep interior now have quality internet for the first time. Without connectivity, there is no competitiveness or traceability.".
(I.e.Deregulated financial tools"We deregulated warrants and commodity promissory notes so they could be financed with their own stocks. It's a silent logistical and financial revolution.".
Finally, the President of the Nation reaffirmed his liberal doctrine with a clear message: "Our model is one of freedom, private property, and unrestricted trade. Trade is a service to the nation. Lowering taxes is a service to the nation. Investing is a service to the nation.".
In short, the 137th Rural Exposition once again established itself as a benchmark event for Argentine agriculture, where the display of technological innovation was combined with relevant trade policy decisions.
At the end of July, both the President of the Nation and the head of the Argentine Rural Society agreed on an agenda focused on reducing withholdings, simplifying taxes, improving logistics infrastructure, and promoting the sector's international presence. Several of the measures were confirmed and are expected to be formalized in the coming days.
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