In January 2016, the government of Argentina announced a change in private-sector financial support.



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Ministerio de Agroindustria (2016) Se suman 500 millones de pesos para financiar la cosecha de frutas 2016.

Inception date: 07 Jan 2016 | Removal date: open ended
Still in force

State loan

On 7 January 2016, the Ministry of Agro-Industry of the Republic of Argentina signed a credit-line financing agreement with the Banco de la Nacion Argentina (BNA), for the purpose of expanding the production value chain capacity of apples and pears from Rio Negro and Neuquén (primarily for small producers). The financial amount budgeted for this agreement is 500 million pesos (USD 37, 761, 380).

According to official sources, the credit line is designated to support producers, packers, processors and exporters in the fruit chain with respect to the development costs of the 2016 harvest.
Fruit producers can apply for this credit line in the branches of the Banco de la Nacion. Small producers can receive up to 2.5 million pesos; and in the case of pre-financing of exports, the amounts may reach up to 30 million pesos.
For participating producers, the Ministry Agro-Industry will discount six percentage points off the annual interest rate established by the banking institution providing the credit.
In January 2015, the fruit sector had already received a credit line worth 300 million pesos (USD 22, 656, 828) to support investments and working capital expenditure as well as thepre-financing exports of fruits.
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries.
Nota Bene: Due to the unavailability of 2015 data, the affected trading partners were identified based on 2014 trade flows.