Argentine farmers to begin a three-day strike
Argentinian farmers are expected to begin a three-day strike today, which will continue until midnight on January 13.
The strike was prompted by the decision of President Alberto Fernandez’s government to suspend all corn exports until March in an effort to curb inflation and prevent further increases in domestic price levels. The Liaison Table, a group of four producers that represent the bulk of Argentina’s agricultural sector, responded by rejecting the measure and calling for the strike.
This strike come just weeks after the end of another set of strikes by oilseed workers unions and soy crushing companies that ground Argentinian ports to a halt. Renewed agricultural strikes have the potential to heavily affect the Argentinian economy and Fernandez’s approval ratings. The agricultural sector makes up 10% of Argentina’s GDP and 60% of its exports, so any suspension of production has the potential to stall the Argentinian economy and hurt the president’s approval ratings.
Expect Fernandez to initiate talks with the agricultural sector to rework and possibly rescind the export ban on corn. The talks will likely revolve around ending the ban in exchange for lowering domestic corn prices and ending the strike to prevent further economic problems.
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