Jorge graduated more than thirty years ago. captain Fishing Argentine. He knows the ins and outs of the industry in detail but cannot state how much a kilo of shrimp or rose costs. He doesn’t even dare to try his luck with a figure. “We don’t eat them here.” With one of the world’s best fisheries and a nearly endless coastline stretching nearly 4,500 kilometers from the Río de la Plata to Tierra del Fuego, this country’s consumers are 100 percent meat consumers. For this reason The fishing industry is clearly exporting. and is a generator of foreign exchange and hence the state government has always used it to improve its battered public accounts.
Mauricio Macri and neoperonism This is what Alberto Fernández will now do (with certain taxes, solidarity rates or foreign exchange shares) and the ultra-liberal Javier Milei. The latter would introduce a tax crackdown, which the industry welcomes for its promises to end extensive clientelistic networks or reduce tax pressure. 15% rate on the value of exported goods (Export rights). A sharp drop in consumption is an extreme disruption at an already very complex time for fishing companies facing rising costs and shrinking margins. According to the figures announced by the Federal Public Income Administration (AFIP), HE great rate will give one More than 50 million euros from Galicia’s capital companies.
“This is definitely against Milei’s speech. But as he said, no money“complains the head of one of the country’s Vigo fishing companies. Considering last year’s export volume (1.823 million dollars, equivalent to 1.661 million euros at the current exchange rate) To collect will be able to reach its goal 250 million euros. Of course, it has nothing to do with the contribution to the collective cash of soybean-producing companies, whose sales abroad last year approached the 2019 limit. 25 billion dollars. In your case eclipse will perch from 31% to 33%to set zero quotas for products such as rice, potatoes or sugar as compensation. The fishery, at least for now, failed to convince the trainer of the numbers of the Milei team. Luis CaputoSuccessor of Sergio Massa. According to the estimates of the Central Bank of the Republic of Argentina Annual inflation for November is 190%. “The industry has gone from being happy with the change of government to becoming worried and now upset,” concludes expert journalist Gustavo Seira.
According to the Production Research Center XXI affiliated with the Ministry of Economy, two largest fish exporting companies country of origin capital of galicia: Iberconsa and Nueva Pescanova. In recent years, the former has acquired integrated groups such as Pesquera Santa Cruz, Atunera Argentina or Giorno; is World leader in frozen shrimp and hake on board. The latter has traditionally seen its subsidiary Argenova as one of its greatest assets in creating positive results for the group; In fact, hyperinflation in this country was a decisive factor in the huge losses recorded by the Chapela multinational in the last financial year. But the exposure of the Galician industry is beyond these two operators and capital: Wofco (owning 45% of Conarpesa), Grupo Profand, Vieirasa, Gandón (owner of Pesquera Cruz del Sur, previously shared with Fandicosta) or Videmar, taking into account this extraordinary withholding You should have it in your accounts. According to business sources, withholding tax will also be paid weekly.
Merger
However Spain is the main market for products argentine fishing: No other country buys this much hake or shrimp. Most of the references already had withholding for export taxes, now combined like this 15%. “The fishery paid a 6% withholding tax on whole shrimp in two-pound boxes; A manager from Mar del Plata explains that queues for 2-kilo containers are 5% and for blocks larger than 2 kilos, 9%. More processed, peeled and separated products are charged between 1% and 3%, depending on whether the containers are larger than one kilo. So, it was an increasing ratio: the greater the employment and value added created onshore, the lower the retention rate; This is done precisely to encourage companies to conduct more processing work in provinces such as Chubut or Santa Cruz and not freeze everything on board. This progressivism is what Javier Milei’s team dismantles when they arrive at Casa Rosada.
The increase in duty comes in a perfect storm scenario for the industry, which has already been heavily penalized for the poor performance of products cut in the Southern Cone. Total of all shrimp sales from Argentina nearly 20% decrease at an unusually low price so far this year: $5,544 per ton. This is a sign that demand is very low in the Spanish market, which is showing no signs of recovery due to the Christmas campaign. The decline in sales, stock accumulation (cold storage also eats up working capital) and low prices are carnivores for fishing companies’ solvency and margins.