Los Grobo in the Media

May 31, 2018
Gustavo Grobocopatel: “Less retentions is more income, that's how it is”
The referent of the soy sector was against the possibility of the Government making changes in the tariff scheme.

The president of Grupo Los Grobo and one of the referents of the soy sector, Gustavo Grobocopatel, criticized any management of the national government to maintain the scheme of retentions in search of financing.

"Less retention is more revenue, it is the opposite of what is being thought," said the agricultural entrepreneur to La Voz when asked about the intentions of the Casa Rosada to cancel the gradual reduction of that fee.

On the other hand, Grobocopatel, when participating in an activity of the Argentine Center of Engineers (CAI), considered that the recent devaluation "was necessary" and celebrated the appointment of Finance Minister Nicolás Dujovne as coordinator so that the reduction of the fiscal deficit " have deadlines and objectives much more concrete.

-What exposed the exchange crisis?

-What he exposed are the macroeconomic problems that Argentina has, which are not made by this Government; this Government is trying to manage them, to solve them in a certain way. They are part of structural problems that have been incubating, some for many decades and others strengthened in recent years. This government decided to do so with a temporary, what is called gradualism, and what the market generally perceives is that time is very long and things need to be done faster. It is more difficult to question gradualism than shock. The shock fixes everything with pain, but it fixes everything: from a service puts you in your place, while gradualism will do it a little, which requires a more complex management. It seems to me that there has been a devaluation that was necessary, it was a devaluation that corrected an imbalance that was in the exchange rate. And there has also been a greater extent of the Government to take a more political look at these issues, which was also necessary; and some level of coordination so that this gradualism, basically so that the issue of fiscal deficit, has deadlines and more concrete objectives.

Is Nicolas Dujovne's designation as coordinator?

-Yes, I think it is important to coordinate and I also believe that we not only have to coordinate with the deficit, but also with an increase in exports. See how we do to produce and export more competitively and sustainably. That is, several coordination is needed, not just the fiscal deficit.

-The dollar at 25 pesos is at an equilibrium level?

-This is a photo, we have to see the movie. When you see the curve of the evolution of the exchange rate, you see that we are still behind, when you see it from a historical point of view. Now, it may be from the historical point of view, but there is a certain conjuncture that makes it not really so backward. That will tell time and hope that inflation will fall, and then the demand for devaluation will be lower.

-Trascended that in the Government evaluated to stop the decrease of the retentions. What do you think?

-I think that with a reduction of retention, even faster than it is being applied, more will be collected, there will be more exports, more soybeans, more tax collection. That is, less withholdings is more revenue. That is so. It is the opposite of what is being thought.

-Elisa Carrió denounced that there were producers who did not liquidate the harvest

-It's an opinion that had Carrió, I do not know based on what. The reality is that it is being liquidated, it is being liquidated more percentage this year than in other years. In terms of money it is settled less because there is less, because of the drought.

What would you tell Macri if he summoned him to listen to ways to reduce the deficit?

-There are two ways to reduce the deficit: one is shrinking the state and, obviously, there is work to do in that because there are places that need to be rethought, not so much to reduce them, but to give them a sense. And the other is increasing activity and growth in Argentina. By my nature, I am much more procreation, but it does not mean that I have the truth.

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