Government will once again give tax privileges to agro-exporters

Government will once again give tax privileges to agro-exporters

The Dina Boluarte regime seeks to alleviate the tax obligations of agro-exporters and, within its proposal to reform the Agrarian Promotion Law, they will reinstate the 15% rate of Income Tax (IR) for large companies.

According to the Minister of Agrarian Development and Irrigation, Ángel Manero, it is time to “correct several things”, since “labor cost overruns” have been generated and, therefore, the rate reduction will come to compensate agro-exporters. While the rest of the sectors will continue to contribute 29.5%.

It is not the Chlimper law, but it is similar

At the end of 2020, tired of receiving precarious payments and no social benefits, workers in the sector protested to demand better conditions. Congress, at that time, supported them and Law 27360 was repealed—popularly known as the Chlimper law, born at the end of the Alberto Fujimori dictatorship and which, provisionally, reduced the tax burden of companies, but which was prolonged for 20 years-.

In the words of the Minister of Economy and Finance, José Arista, the reform carried out by the Executive Branch does not intend to revive the Chlimper law, but it will “rescue some things”, in order to “formalize the economy of the agricultural sector.”

However, Grade researcher Eduardo Zegarra assures that efforts are being made to free agro-export firms from their responsibility. “The festival of rent-seeking exemptions for privileged sectors continues, that is why the support for this puppet Government is total on the part of Confiep and AGAP (Association of Agricultural Producer Guilds of Peru),” he commented in X.

Meanwhile, the former Vice Minister of Employment Promotion Fernando Cuadros Luque maintains that what Manero advanced is shameful and, as a result of the lobby, there will be fewer public resources to attend to education and health to favor a handful of companies that do not need it.

According to Manero, labor benefits such as the Beta Bonus —which allows the worker to access 30% of the RMV— will not be terminated because it is a right won by the workers, to whom the proposal will land. He believes that everyone will agree to get the sector afloat.

Fact kills story

From Adex, they point out that the Chlimper law helped the sector exponentially and expressed their support for the project prepared by the Executive. In 20 years, thanks to the boom, they went from moving US$758 million to US$10,421 million by 2022.

Even with the law that protects the worker, the sector continued to grow: this 2024 they expect US$10,525 million.

The data

Eye. Manero estimated a period of one month to complete the proposal for the new Agrarian Promotion Law. Technical group is headed by his portfolio.

Source: Larepublica

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