The Chamber of Deputies will seek to advance next week with the signing of a consensus opinion between the Front of All and the opposition on the draft Law for the Promotion of Agroindustrial Developmentwhich aims to increase exports to generate foreign exchange and new jobs in the production of the country’s 24 value chains.
The ruling party aspires to vote for it in a session on August 31 where another set of initiatives agreed with the opposition blocks will be discussed.
The project to promote agribusiness is part of the package of initiatives that the Minister of Economy, Sergio Massa, asked to sanction to support production and economic growth, of which the extension of the validity of money laundering has already become law to activate the construction sector.
The Senate will advance in the coming weeks with the sanction of the projects for the promotion, development and production of modern biotechnology and nanotechnology, and the promotion of investments in the automotive industry, whose sanction the head of the portfolio of Tax authorities.
“Our goal is to have more investments, added value, jobs and better salaries. We will try to approve it in the coming weeks”Marcelo Casaretto
for the ruling party it is essential to have the approval of these initiatives before September 15 when the National Government will send the 2023 Budget, which will be the main law that Congress will address in this second semester and that will be the main objective that the ruling party will have together with the extension of the taxes that expire at the end of the year.
In this sense, the Budget and Treasury Commission will open the debate on the extension for five years of taxes on Income, Personal Assets, Monotax and the creation of the Fund for Education and Cooperative Promotion.
For now, this week, in addition to advancing with the discussion of the extension of taxes, the Industry and Agriculture committees will meet again to advance in the drafting of an opinionwhich the ruling party aspires to vote in a session to be held on August 31.
Now the intention of the presidents of the Industry commissions, Marcelo Casaretto (FDT); and of Agriculture, the radical Ricardo Buryaile, after having concluded on Wednesday the round of consultation where the Secretary of Agriculture, Juan José Bahillo, and representatives of companies and producers spoke, is to advance in an opinion.
The intention is that progress be made first at the advisory level in order to agree on a text that will later be reflected in an opinion that will be analyzed in a plenary session to be held between next Wednesday and Thursday.
In this regard, Buryaile told Télam that “the idea is to deal with this project next week and for that the technical teams will meet to reach agreements and get closer to an opinion”
For his part, Casaretto stated: “Our goal is to have more investments, added value, jobs and better wages. We will try to approve it in the coming weeks.”
The importance of the project
The Government’s position on the importance of the project was expressed by Secretary Bahillo, who pointed out that this law proposes “four axes: a system to promote federal, inclusive, sustainable and exporting agro-industrial development; seeking to consolidate Argentina as a food processor and as a a major player in marketing”
The official highlighted the strong federal bias of this project since “if there is something that is going to be preserved in the country for being a federal republic, which is indicated in the Constitution, it is the promotion and active policies for the development of regional economies.”
The secretary added that “labor inclusion policies must be generated because if all this growth is not consistent with new job opportunities, development does not take place, it can only be achieved if there are new jobs.”
“Labor inclusion policies must be generated because if all this growth is not consistent with new job opportunities, development does not take place, it can only be achieved if there are new jobs”John Joseph Bahillo
The project of the Executive Power aims to achieve greater industrialization in agricultural activity to export with greater added value, through the incorporation of investments and more technology (seeds, fertilizers, genetics, among others).
The objective of the initiative is achieve in 2030 exports for 100,000 million dollars and the generation of 700,000 new jobs.
The new regime will be in force until December 31, 2025, but the Government may extend it until 2030.
The initiative – whose drafting was worked on through nine technical roundtables held between the Ministry of Economy and the Argentine Agroindustrial Council (CAA) – also proposes granting a tax credit bonus computable for income tax for incremental purchases of fertilizers, seeds, bio-inputs, genetics and animal health
In accordance with the project, in machinery and equipment Profits may be amortized in three installments from now on -the usual is 10- and it will be for nationally produced goods, and in terms of VAT, the term to request its payment is reduced from six to three months. return.
The new system will be for producers and companies that register in a new “National Registry for the Promotion of Federal, Inclusive, Sustainable and Exporting Agroindustrial Development”which will work under a “Digital Single Window” format.
In order to maintain the benefit, each producer or company must demonstrate in each fiscal year that it exceeded the objectives set as a goal in the project in relation to its sales or employed personnel called “Baseline”
Companies must have increased the volume of sales, physical production, volume of exports and number of employed personnel.
