Argentina’s Fishing Industry: Trade, Taxes, and Global Markets
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 does not even dare to estimate a figure. “We don’t eat them here.” With one of the world’s best fisheries and a coastline that stretches nearly 4,500 kilometers from the Río de la Plata to Tierra del Fuego, the country’s consumers are predominantly meat-focused. As a result, the fishing sector exports a large share of its catch and serves as a major source of foreign exchange. The state has long relied on this industry to help bolster government finances during tough times.
Current political shifts include Mauricio Macri and neoperonism, followed by Alberto Fernández’s approach with selective taxes and foreign exchange measures, and the more libertarian Javier Milei. The latter advocates tax crackdowns, which the sector views as potentially curbing clientelistic networks and easing overall tax pressure. A proposed 15% duty on exported goods, known as export rights, would, if enacted, significantly affect margins at a time when rising costs already squeeze fishing companies. Some figures suggest such measures could bring in more than 50 million euros from Galicia-based firms, highlighting the international connections of the industry.
IMF‑related commentary on Milei’s new economic policies notes a mixed reception. One Vigo-based fishing company points out that last year’s export volume reached 1.823 million dollars, roughly 1.661 million euros at current rates, with potential gains pegged at about 250 million euros if policy goals align with industry needs. This is not a straightforward comparison to the soybean sector, whose overseas sales last year neared historic highs. For argentine fisheries, policy changes could shift quotas and compensation mechanisms, such as proposing zero quotas for staples like rice or potatoes in some scenarios. The sector remains in dialogue with government economists and analysts, though concerns persist about inflation and policy predictability. Estimates from the Central Bank indicate high inflation, and experts warn that confidence in the sector could waver with changing administrations. A seasoned journalist describes the mood as moving from cautious optimism to concern and frustration.
Production research centers tied to the economy ministry note the two largest argentine fishing exporters with Galicia roots: Iberconsa and Nueva Pescanova. In recent years, Iberconsa has consolidated groups such as Pesquera Santa Cruz, Atunera Argentina, and Giorno, establishing leadership in frozen shrimp and hake on board. Nueva Pescanova, through its subsidiary Argenova, has become a key asset in the group’s strategy. Hyperinflation has been a heavy burden for local subsidiaries, contributing to sizable losses reported by some Galician-linked operations. The network of Galicia‑affiliated players extends beyond these two giants, including Wofco (controlling a sizeable stake in Conarpesa), Grupo Profand, Vieirasa, Gandón (which once partnered with Fandicosta in Pesquera Cruz del Sur), and Videmar. These entities collectively shape the region’s export landscape and tax considerations, with annual withholding expectations affecting cash flow. Market insiders note that withholding taxes are updated on a weekly basis, influencing every step of the supply chain.
Merger
Spain stands as the primary market for Argentine hake and shrimp, with limited competition from other nations. Many references already included withholding for export taxes, now aligned with a 15% rate. Industry voices recall a typical withholding of about 6% on whole shrimp in two‑pound boxes. A Mar del Plata manager explains that queues for two‑kilogram containers can sit around 5%, while larger blocks approach 9%. Processed and peeled products face lower fees, generally between 1% and 3% depending on container size. The trend shows higher value-added activity onshore in provinces like Chubut or Santa Cruz, rather than freezing everything aboard. This push for processing represents a political battleground, with Milei’s team proposing changes after taking office.
The current tax shift arrives amid a challenging industry climate. Shrimp sales across the Southern Cone have fallen, with volume down nearly 20% this year and prices dipping to about $5,544 per ton, signaling weak demand in major markets such as Spain. Ongoing stockpiles and the cost of cold storage further pressure liquidity and margins for fishing companies. The result is a delicate balance between maintaining exports and sustaining onshore processing capacity, all under evolving fiscal policies and global demand conditions. Marked shifts in policy, inflation, and currency considerations are watched closely by executives and analysts who shape the sector’s strategic responses. (Citation: industry and market analysis reports)