The field will contribute an additional $ 142 million for retentions and help reduce the budget deficit by 60%

The field will contribute this year to detentions of 142,000 million pesos more than in 2018, for a total of 230,000 million dollars. This amount will be used to reduce by more than 60% the initial budget deficit.

This was estimated by the Rosario Stock Exchange in a report published today by Julio Calzada and Federico Di Yenno. In 2018, the land contributed with source deductions of $ 88,113 million. With the exception of soybeans, until September, other agricultural crops had no retention. In September of last year, the government set a fixed value of 18% on soybeans and added a $ 4 per dollar export to this grain. He again imputed holdings to other crops such as wheat, corn and meat. among other articles.

According to the report, the sector will report $ 230,062 million this year to the Treasury, 161% more than in 2018, an improvement of nearly $ 142 billion.

In 2018, the state collected $ 8,451 million for retentions in other economic sectors. In September, he also generalized to the rest of the economy the new retentions of the field. Thus, in 2019, the position of other sectors of the economy will reach $ 173,938 million.

The Rosario Stock Exchange made the calculations with an average exchange rate of $ 43.60 per dollar. "This $ 142,000 million represents 0.8% of projected GDP for the year 2019. The comparison of this additional $ 142,000 million in 2019 with the primary deficit recorded in 2018 ($ 374,250 million) equals to cover nearly 40% of the 2018 deficit, "says the report, adding:" As the initial official forecasts (before the 2018 agreements with the IMF) expected a deficit of 1.3% of GDP in 2019, the 142 billion pesos represent being able to reduce this deficit by more than 60% ".

According to the work, if the average exchange rate in 2019 was higher than 43.60 dollars, "the collection of export duties and the contribution of the field and the agro-industry would exceed 230 000 million dollars per year".

The entity points out that, with the increase in withholding taxes, export duties "have become the third largest tax", after the contributions and contributions to social security and to the value-added tax.

Adding all sectors of the economy, from land to industry, retentions would represent 372 billion pesos, which is equivalent to 2% of GDP in 2019.

"This figure includes cereals, flour, oils, biodiesel and the rest of the goods exported by the economy, adding rights to the export of services subject to deductions, projected at 8,000 million of dollars, the product of export duties a total of 404 billion pesos, a figure similar to that stated in the 2019 finance law, "he said.

In the last hours, there were versions on a new increase of deductions. However, according to Dardo Chiesa, president of Confederaciones Rurales Argentinas (CRA), during a hearing granted this morning to the Minister of Production and Labor, Dante Sica,
He denied any change in export duties. "We do not know where the rumor comes from, we will not touch the withholding tax," Sica said, according to the head of the CRA. In production a source said
THE NATION: "There is nothing in the study, it is not planned to download them".