Milei Announces Permanent Reduction of Withholdings in La Rural

The president confirmed significant declines in the main agricultural products, with reductions of 20% for grains and 26% for meat. Villarruel's absence marked a new episode of internal tension.

The new rates announced

Milei confirmed "permanent" reductions in withholdings, calling them "the great scourge that should never have existed":

Projected Economic Impact

The president stressed that the measures represent:

• 20% reduction in withholdings for grain chains
• 26% reduction for livestock and meat chains
• Comprehensive benefit for the interior of the country

"From veterinarians to silo builders, everyone benefits when the profitability of the private sector stays in the private sector instead of being extirpated by the damn state," Milei emphasized.

Fiscal Sustainability as a Condition

The president directly linked the reductions to the macroeconomic balance achieved:

"This is only thanks to the fiscal surplus we have achieved, which we take care of like water in the desert in the face of the systematic onslaught of the political caste."

The Casa Rosada later issued an official statement describing the measure as the beginning of "a new era marked by the growth and unleashing of the full potential of the countryside."

Political Tension: Villarruel's Absence

Vice President Victoria Villarruel did not attend the event after confirming her presence. Sources close to him denounced that Casa Rosada Protocol denied him access for his staff and did not inform him of his location at the event.

Milei took the opportunity to indirectly criticize her by referring to the bills that the Senate sent to the Executive for veto: "They say that an expenditure of 17,000 million dollars per year can be financed with a cut of 30 million in the SIDE," alluding to Villarruel's statements about the intelligence budget.

Political Context of the Announcement

The measure came at a time of high expectations from the agricultural sector, which had been demanding concrete gestures after months of waiting. The event was also attended by Jorge Macri, in the midst of negotiations on a possible electoral alliance between PRO and La Libertad Avanza for October.

"The countryside is a strategic sector for Argentina and an engine of growth," said the head of the Buenos Aires government, sitting in the front row next to his wife.

Commitment to the future

Milei reaffirmed his commitment to the total elimination of withholdings: "These reductions are permanent and there will be no turning back while I am in government. Eliminating withholdings is an obsession for our management."

The announcement is part of the government's strategy to position the countryside as the "backbone of the economy" and reverse decades of policies that the ruling party describes as "systematic theft of the fruit of other people's labor."

The measure came into force immediately and adds to the deregulation and trade opening policies implemented since December 2023.

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