The Argentine Agrarian Federation (FAA), one of the entities that make up the liaison table, criticized Javier Milei’s mega decree of necessity and urgency.
“Although the DNU contains positive and negative aspects, we want to express our opinion the refusal, in particular, of the unlimited openness to the purchase of land by foreigners in our country. Without limits, we put the survival of producers and the sovereignty of our natural resources at risk,” the rural entity warned.
Under the pretext of attracting investments, it is necessary to remember that for 21 years in the agricultural sector we have paid almost 200 billion dollars in withholdings, which have been the instrument that has caused the disinvestment and disappearance of thousands of small and medium-sized producer companies. If withholding taxes were removed, we would be able to generate the investments that the government wants,” he indicated.
The Decree of Necessity and Urgency (DNU) presented by Milei, provided for the repeal of the so-called Land Law, strictly speaking, Law 26,737 for the protection of national state property on the ownership, possession or possession of rural lands, promulgated in December 2011.
The rule establishes a limit to purchase of fields by foreigners of 1,000 hectares in the central zone or in an equivalent area according to the territorial location, determined by the Inter-ministerial Council of Rural Lands (provided for by article 16 of the law) based on their location, quality and proportion with respect to the municipality or province that compose them.
On the other hand, the rural union led by Carlos Achetoni criticized the fact that the repeals are not discussed in Congress. “From the Argentine Agrarian Federation we ratify our republican commitment. Therefore we believe that the unlimited respect for the division of powers is essential, as is the healthy functioning of the system of checks and balances provided for by our National Constitution, since it prevents the oppression of one power over the other”, reads the statement
In this sense, they understand that actions that tend to drastically change the social, productive, economic and cultural life of Argentines should be discussed by the Legislative Power in the National Congress. “And, beyond the majorities with which we arrive at government, which we have always been respectful of, as an entity we are convinced that the fact that governments adhere to the Constitution and its precepts is neither optional nor questionable”, Hill.
Rural real estate agencies are celebrating
The Land Law has been questioned for years by the Chamber of Rural Real Estate Companies (CAIR), which maintains that since its entry into force, due to lower investments by foreigners, In Argentina there has been a decline in the value of the hectare which was out of step with the evolution of the price of rural land in other countries, where the price has increased over the last decade.
Before Milei’s inauguration, CAIR asked the elected candidate to repeal the land law or to modify it by giving it rationality to encourage the entry of capital. They considered it one of the “urgent and necessary requests for the country to move forward as soon as possible”. For this reason, the Chamber has made its technical teams available to present proposals and concerns of the rural real estate sector.
Source: Clarin
