The Argentine government plans to raise the export tax for biodiesel from 8% to 15% from 1 June. This was published today in the government's official newsletter.
Argentina is one of the world's largest suppliers of biodiesel, exporting 1.65 million tonnes of this energy source in 2017. In recent years, exports have suffered from various countermeasures, for example from the USA and Europe.
The Argentine Chamber of Commerce and Industry expected at the beginning of the month that the European Union would stop importing biodiesel in September or October.
A decree by President Mauricio Macri states that by raising the export duty, the rapporteur intends to promote the rapprochement between export taxes on biodiesel and soybean oil.
The South American country is the world's largest exporter of soybean oil used for food preparation and biodiesel production.
When Macri won the 2015 presidential election, the export tax for soybeans stood at 35%. This year started at 30%, and each month since then 0.5% less export duties have been levied. So right now it's 27.5%.The export duty for soybean oil and soybean meal is currently at 25.5%.
Macri completely abolished corn and wheat export taxes as soon as he took office in 2015. To the benefit of the farmers, but to the detriment of the state budget.
The country's tight financial situation has put pressure on the peso exchange rate against the world's major currencies. The local currency lost 16.5% against the US dollar in May alone.
This collapse forced Macri to ask for support from the International Monetary Fund so that his country could continue to meet its financial obligations.
Finance Minister Nicolas Dujovne said last week that he wants to suspend the phasing out of soybean export tariffs in order to mitigate the government deficit.
Text: HANSA Derivatives Trading GmbH /
