ANNOUNCEMENT 31 May 2019

The Government of Argentina has increased the price of the bioethanol used in fuel blendings of automobiles.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

InfoLeg. Ministerio de Hacienda. Subsecretaría de Hidrocarburos y Combustibles. Disposición 81/2019. Available at: http://servicios.infoleg.gob.ar/infolegInternet/anexos/320000-324999/323765/norma.htm

InfoLeg. Ministerio de Hacienda. Subsecretaría de Hidrocarburos y Combustibles. Disposición 35/2019. Available at: http://servicios.infoleg.gob.ar/infolegInternet/anexos/320000-324999/323019/norma.htm

Inception date: 01 Jun 2019 | Removal date: 30 Jun 2019
Still in force

Price stabilisation

On 31 May 2019, the Finance Ministry of Argentina has adopted Disposition 81/2019 increasing the price of sugarcane-based and maize-based ethanol used in fuel blendings for automobiles. The new prices have increased from ARS 23.409 (USD 0.52) to ARS 24.073 (USD 0.54) per litre, and from ARS 21.270 (USD 0.47) to ARS 21.801 (USD 0.48) per litre respectively.

Due to a local content requirement imposed via Decree 543/2016 (please, see related state acts), the changes in the prices of bioethanol that are compulsorily included in automobile fuels produced in Argentina, suggests that this type of interventions are intended as a price support to domestic ethanol producers.

The new legislation has entered into force on 1 June 2019.

 
Update
On 4 July 2019, the Finance Ministry of Argentina has adopted a new Disposition modifying the applicable prices for sugarcane-based and maize-based ethanol used in fuel blendings for automobiles. The new legislation applies as of 1 July 2019 (please, see related state acts). 

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