Milei\’s free-market reforms fail to satisfy Argentine farmers.
Argentina’s fruit growers demand a stronger push for economic reforms
From the brink of crisis to a cautious “purgatory”
Since President Javier Milei took office two years ago, Argentina’s farming sector has been seeking deeper changes to the economic agenda that so far has seemed insufficient. The fruit community, led by Ruben Artigues in the La Buena Moza region, continues to urge the new administration to cut the national, provincial and municipal levies that are hampering competitiveness.
Export‑tax cuts announced in June
- Beef and poultry: drop from 6.75 % to 5.0 %
- Corn: reduce from 12 % to 9.5 %
- Soybeans: lower from 33 % to 26 %
- Additional relief for sorghum, sunflower seeds and their by‑products.
Farmers’ frustrations highlight dependence on trade infrastructure
Artigues reported a 30 % loss of his orange and peach crop due to an unprecedented winter cold spell in July. Although the reforms have eased some currency controls and stabilized inflation, he stressed that the high cost of shipping—40 % more than rivals in Chile, Uruguay, or South Africa—remains a continuing barrier. The cost of maintaining the region’s road network and the scarcity of rail and water transport have also become pressing issues.
Key impacts on employment and production
- Artigues employs roughly 120 workers, a figure that is threatened as farmers consider shifting to soybean cultivation, which requires less labor.
- The new austerity measures have led to the layoff of tens of thousands of public sector employees and the closure of public works projects that maintain over 40,000 km of highways.
- Despite these setbacks, the agricultural sector accounts for 58 % of Argentina’s export earnings in 2024 and remains a critical source of foreign currency.
Looking ahead: an uncertain path to deeper reforms
While Milei has pledged to eliminate export duties entirely, he has warned that such a step could jeopardize the fiscal surplus he has achieved. However, the farmers’ patience has limits. Calls for further tax reductions, better transport infrastructure, and stronger support for export markets are now louder than ever as the country continues to negotiate new IMF assistance that could bring additional finance to help the sector recover.
