Argentina's lower house of congress approved a controversial bill on Saturday to increase taxes on exports of grains and oilseeds after a heated seventeen-hour debate. The bill backs a plan that was put in place by Argentina's President Cristina Fernandez de Kirchner in March over stiff opposition from farmers in the country. The measure now requires the Senate's approval to become law.
Under the sliding-scale export tax system put in place by Kirchner, export taxes for agricultural products from Argentina were changed from a fixed rate of 35 percent to a system in which taxes are tied to global commodity prices. Fernandez had imposed the variable levies to help curb domestic food prices from rising. However, the move has dented Fernandez's popularity.
Farmers in Argentina are opposed to the measures and have staged protests over the past four months, resulting in food shortages and riots. The protests also led to cutting off export of grains. The farmers have threatened to renew roadblocks if the measures are approved.
Argentina is one of the world's top suppliers of soy, corn, wheat and beef.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.