Argentina-Farmers and Government continue talks.

ARGENTINA-GOVERNMENT NOT CUTTING DUTIES ON SOYBEANS TAX.

Farmers who have been confronting the government over duties for a year, and who on Tuesday completed a four day sales boycott before meeting with the government of Argentina, said that the meeting they had with the government ministers on Tuesday, showed some mild results and they seemed content at the governments willingness to talk, after a stand off for many months.

The leaders of the four main farm groups, met with Production Minister Debora Giorgi and Interior Minister Florencio Randazzo, only hours after the president was accusing the farmers of trying to topple her government.

At a press conference on Tuesday night the government announced measures to help farmers at the cost of US$1.3 billion, however they said that there will be no reduction in the soy tax of 35% on all exported soy.

Farmers have laid a wide range of charges against the government over the last year, the fact that the tax on corn, wheat, soy and sunseed is unchanged, is going to cause problems with the downturn in commodity prices.

The cattle market was opened on Wednsday and there were 18,567 head of cattle on offer, that were quiclky knocked down to the local meat wholesalers.

The bank sit in that was organized on Tuesday, was ended without any major incident or arrest, however there were some very critical remarks from government spokesmen.

Farmers who have been affected by the drought, get an immediate cash payment of US$3,500 and the duty on milk and dairy products, has been cut by 50%.

Talks are going to continue this week, culminating in a meeting on Tuesday of next week between government officials and farm leaders.