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26 de mayo 2008 - 00:00

May 25 moans about a split Argentina

Once Spain thought of being split into two. And it had its civil war. It challenged ideologies, ways of living, interests. More roughly, Argentina did the same yesterday in its Revolution Day. Government and farm conflict has gone too far. Loaded with inflamed oratory, both parties returned yesterday to intolerance and threats that escalation will continue: some arguing that they would strike if not granted what's requested, others warning that they would accuse them of insurrection if those actions persisted. Of course, both have their shields: farm talks about a legitimacy sustained in all-time demonstrations; government in vote authenticating it. The truth is that government will receive farmers today, without that being a sign that the clash will end. Meanwhile, more speeches, more words, Argentina's new sport during the last two months. At the same time, inflation keeps on mounting, government bonds plummet, fearful companies get stocks, essential goods are missing and people withdraw their deposits from banks. "If individuals define situations as real, they will be real" (William Thomas)..despite government or farm don't want that.

Argentine farmers and government held huge separate rallies on Sunday in shows of strength ahead of talks this week aimed at resolving a three-month conflict over the president's unpopular soy tax.

Argentina is one of the world's major suppliers of wheat, soy, corn and beef, and the farmers' rally in the country's No. 2 city Rosario was the biggest assembly by growers since they began a tax revolt in mid-March.

Talks between farmers and government on Thursday did not bring a solution to the conflict, which has hurt Argentina's bond prices, sparked a demand for dollars and damaged the popularity of President Cristina Fernandez.

"We want all Argentines to recognize what farmers give to the country," a woman at the rally in Rosario said on TV. She did not give her name, but said she produces corn, wheat, soy and beef.

Government said some 250,000 people heard Fernandez speak in the northern provincial capital Salta on Sunday, which was Revolution Day, one of Argentina's most important national holidays.

Fernandez, who succeeded her husband ex-President Nestor Kirchner, did not specifically mention soy tax but said her policies aimed to redistribute wealth to all Argentines. She did not announce new policies or relaunch any initiatives as some had anticipated.

"The interests of the homeland, of the country, come before those of a sector or an individual," Fernandez said.

DRIVING TRACTORS

Organizers of farm rally estimated close to 300,000 people from all over the country's vast agricultural heartland were at the gathering in Rosario, a key grain port 140 miles (300 km) north of Buenos Aires.

Since March 11, when government announced a new sliding-scale tax on soy exports, farmers have held two major protests (one lasting three weeks and another two weeks). In protests, growers held back grains and cattle from markets.

Many farmers drove tractors and harvesters to Sunday's event, which took place near the banks of the wide Parana river, a major artery for ships that load in Rosario and head to the Atlantic Ocean carrying Argentine soy all over the world.

One of the most radical farm leaders, Alfredo De Angeli, said farmers would start blocking highways again, as they did in March, if Monday's talks did not bear fruit.

But the presidents of Argentina's four major farm groups were less confrontational in their speeches at the rally. Banks and businesses hurt by the protests have urged farmers to reach an agreement with the government, and the Catholic Church has also called for resolution.

"We need another farm policy," farm leader Eduardo Buzzi said at the rally.

"We didn't come with posters. And we weren't paid to come," said farm leader Mario Llambias, referring to official rallies where pro-government community groups traditionally receive government funding to make banners, to bus people to the event and to feed them.

High global prices for farm products have benefited Argentine growers and many farmers have switched to high-profit soy, which accounted for $13.5 million in export income last year.

But the country has been torn apart as farmers and government disagree on how to manage soy windfall.

Farmers say new soy tax is unfair. They also resent other government policies setting price caps on domestic beef and wheat prices and limiting exports of beef and wheat.

Government has strongly defended its policies, saying it cannot allow all of Argentina's farmland to be taken over by soy or farmers to export wheat and beef unless domestic supplies are guaranteed and unless farmers follow rules about keeping prices down on products sold at home.

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