The Government approved the Model Loan Contract of the Inter-American Development Bank (IDB) for US$40 million, which will be allocated to small wine producers from the country.
The financing for the sector It had been anticipated by the Minister of Economy, Sergio Massa, during the Annual Breakfast of the Argentine Wine Corporation that took place on Saturday, where the president announced a package of measures for the wine producers.
The decree published this Monday in the Official Gazette enables a credit line for US$50 million, within the framework of the Support Program for Small Wine Producers of Argentina II (Proviar II).
This way, In addition to the US$40 million loan, the Government will provide another US$10 million for the programin order to “continue multiplying the work of the State and the producers together,” said the minister.
The Government remarked: “The general objective of the program is to contribute to the social, economic and environmental sustainability of Argentine viticulture”; in addition to increasing the marketing capacity of small and medium-sized establishments.
It will also promote the participation of small producers in the market, especially those small and medium-sized companies led by young people and women, who will additionally be provided with technical assistance.
The minister remarked:The sector viticulture generates 300,000 direct and indirect jobs in Argentina and that is why from the State we assume this effort that will allow them to recoverinvest and grow to supply Argentina and the world with its production”.
How the program will work
As reported by the Government, “The program will be developed through technological and organizational innovation for wine production, which includes technical assistance and training for small, medium, and medium-sized wine producers, as well as infrastructure and operational capacity.”
In this regard, the minister explained that Proviar II will finance MiPyMes and small and medium producers, so that they can install irrigation systems, anti-hail meshes, panels and networks of Meteorological Stations, among others, so that they can have stability and forecast of medium and long term”.
