By Maximilian Heath
BUENOS AIRES, Sept 28 (Reuters) – Argentina’s farm leaders, set for a crunch meeting with the government on Tuesday, were hopeful about striking a deal to ease limits on beef exports that have stoked tensions in the major grains- and cattle-producing South American country.
The government capped beef exports at 50% of the normal volumes earlier this year to tamp down fast-rising prices. This has led to protests and threats by farmers to halt local trading in cattle and also grains.
Argentina is the world’s fifth-largest beef exporter, the top exporter of processed soy and a major producer of corn, wheat and barley. Its farm exports are the country’s main source of much needed foreign currency.
Leaders of the four main agricultural associations will meet with newly appointed farming minister Julian Dominguez at 6 p.m. (2100 GMT) to discuss policies for the meat sector.
“We are going with the expectation of having an agreement, mainly to get rid of the caps beef exports are caught in,” Carlos Achetoni, head of the Argentine Agrarian Federation, told Reuters. “It’s possible we can calm the conflict.”
His counterpart from the Argentine Rural Society, Nicolas Pino, said he hoped the government would modify the quota after officials met with experts from the associations.
“The talks we have had with the minister generate this expectation,” said Pino.
Dominguez took over as farming minister earlier this month after the government of center-left President Alberto Fernandez badly lost a congressional primary election, sparking a rift in the ruling Peronist party and a Cabinet reshuffle.
The ministry did not immediately respond to a request for comment.
Dominguez convened the official Federal Agricultural Council earlier on Tuesday, where a plan was discussed to bolster the “quantity of available beef” for 2022.
“In this way … internal consumption will be ensured and clear rules of the game will be established for exports,” the government said in a statement.
(Reporting by Maximilian Heath; Editing by Adam Jourdan and Cynthia Osterman)
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