The “last card” to change the Agrarian Law: what the Midagri expects | Agroexportation | Agriculture | ECONOMY

In an interview with Managementthe head of the Ministry of Agrarian Development and Irrigation (Midagr), Ángel Manero, hinted that his sector will not insist, through the Government, on the approval of a project that modifies the Agrarian Law. This does not mean that he would not support eventual changes.

This occurs despite the fact that the Executive Branch had announced that it had reached consensus to modify it, to restore the agro-export sector the promoting framework that he had. He even talked about including a request in the delegation of powers (which did not happen).

Minister Manero had previously stated that the focus of the modifications to the Agrarian Law would fall on returning the 15% rate to agricultural exports of the IR.

This benefit ended with the repeal of the Law on Agricultural Promotion In 2020, and in its place, a more rigid law was passed, which, among others, established the so-called Special Bonus for Agricultural Work (BETA), but not based on greater labor productivity.

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Speaking to this newspaper, the head of Midagri now stated: “We must admit that we were unable to reach an agreement with the Ministry of Economy and Finance (MEF) to include it within the package of delegated powers, even though the Midagri was very motivated to do so. We made every effort.”

However, the minister indicated that It has been learned from various congressmen, but still unofficially, that a bill is being prepared to modify the Agrarian Law on the side of Parliament (and restore the promotional framework for agricultural exports), during the current legislature.

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Manero said that It is expected that this project will be formally submitted to his ministry for its opinion, and he announced that he is the first party interested in its release. He also outlined the aspects that such an initiative should contain.

Initially, he explained to this newspaper that considers that one aspect that should be maintained in the current legislation (in force since 2021) is the BETA Bonus, which includes an additional payment of 30% on what is paid to the worker.

The BETA Bonus, despite being anti-technical and anti-competitive, cannot be removed, because that would generate social and labor chaos, protests, it is a complicated issue”he said.

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What he is in favor of, he stressed, is that the benefit of a reduced IR is restoredas was the case with the previous agricultural promotion regime.

“What we can ‘intervene’ in is the IR. In compensation for the fact that we already have an extra cost there (with the BETA Bonus), we have to see in some way how we can give a little competitiveness (to the agro-export sector) in a world scenario where African countries have zero IR, and many investments are going to Africa.”he pointed out.

He stressed that restoring the tax benefit to the agro-export sector is important because there will be an offer of land that will be brought by the irrigation projects that are underway, that is, it will be necessary to attract investments, as well as because of the amount of employment it generates.

He recalled that last year (due to climatic factors and their impact on agriculture) In the agro-export sector, nearly 100,000 jobs were lost, while poverty increased in agricultural exporting regions.

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ABOUT THE AUTHOR

Social communicator. He studied at the School of Social Communication of the Universidad Nacional Mayor de San Marcos, and English at the PUCP. He holds a Diploma in Economics and Finance from the University of Esan.

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