Processors weigh request to scrap export taxes amid the new exchange rate

Against most forecasts, the first step in lifting exchange controls—introducing a managed float band—pushed the local dollar down instead of up. Before the change, exporters used a blended rate made up of 80 % of the official rate and 20 % of the financial “CCL” rate, worth about Ar$ 1,130. One week after the measure took effect, the wholesale rate exporters receive is Ar$ 1,080 1,090 per dollar—a 4 5 % deterioration—while finished steer prices remain firm and beef is still subject to a 6.75 % export tax. Some companies therefore say they may ask the government to remove the duty altogether (it is already zero on cow meat). In the meantime, some analysts expect slaughter to keep falling.