“Malbec Dollar” will be valid from April 1st and aims at the recovery of sector exports
Argentina’s Ministry of Economy will implement a new exchange rate focused on the national wine production market. O “Malbec dollar”, in reference to the famous grape variety that gives the drink its special flavor, will come into effect from April 1, 2023. sea). The information is from the newspaper clarion.
The novelty released by the Argentine government aims, especially, at the recovery of exports in the wine-growing sector, stimulating competitiveness and preserving the reserves of the Argentine Central Bank.
“From the 1st of April […]we will accompany it with a mechanism for what all regional economies are, starting with viticulture to recover exports, competitiveness, recover markets, but also so that they have the opportunity to face the loss that hail and frost represented”said Sergio Massa.
Exchange rate is the value that a certain currency has over another. It is defined when it expresses the price of a unit of foreign currency converted into domestic currency. That is, it indicates the amount of currency from a certain country needed to buy a unit of foreign currency..
In the international market, the exchange rate is important in the commercial relationship between different countries. For example, the exchange rate is an indicator of whether a currency is valued or devalued in the market.
In May 2022, the Argentine group wine cellarsimilar to an association of industry entrepreneurs, he requested to Casa Rosada to eliminate the required 4.5% tax rate on wine exports.
In addition, the group also requested that the Argentine government create policies to reduce or eliminate the tariffs paid by national wineries to introduce their products in the main international markets.
According to information from INV (National Institute of Viticulture), from January to July 2022, total exports of bottled wine amounted to 116 million liters. In the same period of 2021, the value reached 126 million liters.
However, when adding bulk, a format in which the drink is not bottled and distributed without an origin label, total exports from January to July 2022 were 160 million liters against 201 million for the same months in 2021.
The differential rate of “Malbec dollar” has not yet been defined.
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