Argentina Calls Brazil a Heavy Weight and Complains About Asymmetries

    Brazil export

    Brazil export Brazil and Argentina agreed to hold talks next week to address the ongoing trade differences which threaten to sour the bilateral relation between the two countries. The meeting of Presidents Cristina Fernandez de Kirchner of Argentina and Brazilian Luiz InΓ‘cio Lula da Silva was held on the sidelines of the Friday Mercosur summit in Paraguay.

    "We addressed all bilateral issues and agreed that the area ministers will be meeting to review and analyze each sector's activities, its difficulties, achievements and solutions," said Kirchner who described her meeting with President Lula as "very good."

    However Brazilian Foreign Secretary Celso Amorim said it was of great concern for Brazil "the deflection of exports, and the fact others should partially occupy Brazil's space" in the Argentine market.

    "Obviously our idea is that Argentina decides to end the bureaucratic difficulties which restrict the access of Brazilian products to that market," added Amorim in an interview with the SΓ£o Paulo financial publication Valor.

    "We're not talking about trade reprisals or no trade reprisals" against Argentina but "it is essential to work to achieve reciprocal confidence in this field," underlined Amorim.

    Mrs. Kirchner argued that Argentina has experienced a running 72 months trade deficit with Brazil and that of the US$ 25 billion Brazilian surplus, "five billion are from trade with Argentina."

    She added that "Brazilian imports absorb 35% of our trade surplus" and emphasized that the approach "should not be on terms of surplus or deficit, positive or negative."

    Mrs. Kirchner stated that there are very strong asymmetries because of the volumes and size of the Brazilian economy and even more important, "the degree of industrial development, which Argentina does not have. Let us not forget Brazil is a heavy weight at global level."

    Further on Mrs Kirchner said that Argentina is in its second "re-industrialization" process which began in May 2003, with a competitive exchange rate, promotion programs, decoupled utility rates, which have helped us, step by step, rebuild our industry."

    At the hour long meeting Mrs. Kirchner was supported by Economy minister Amado Boudu; production minister Deborah Giorgi and Health minister Juan Manzur.

    Minister Giorgi was blunter in the appreciation of the situation and said that the "trade differences" will be addressed in SΓ£o Paulo next Monday and Tuesday. Brazil is particularly sensitive to the 60 days import licenses system imposed by Argentina to delay the introduction of foreign produce.



    • Show Comments (3)

    • Bo

      [quote]”We’re not talking about trade reprisals or no trade reprisals” against Argentina but “it is essential to work to achieve reciprocal confidence in this field,” underlined Amorim. [/quote]

      Reciprocity? In Brazil? ONLY when it’s to their benefit!! They have no interest whatsoever in a fair playing field nor reciprocity when they’re in the drivers seat.

      [quote]Brazil is particularly sensitive to the 60 days import licenses system imposed by Argentina to delay the introduction of foreign produce. [/quote]

      Almost fell out of my chair on that one!! Brazil complaining about others in respect to beaurocracy and delays??????

      πŸ˜€ πŸ˜‰ πŸ˜€ πŸ˜‰

    • João da Silva

      [quote]Viva the Mato Grosso farmers……shortly BANKRUPTED…..ONCE MORE ! [/quote]

      How can the the MT farmers “Viva”, if they are bankrupted. The best thing for them to do is to commit a collective “Hara-Kiri”.

      As usual, you are inconsistent, incoherent, illogical, etc; 8)

      Cheers. πŸ˜‰ πŸ˜€ πŸ˜‰

    • ch.c.

      Let us not forget Brazil is a heavy weight at global level. ?????
      So true ?

      And on a per capita basis
      – ARGENTINA has MORE exports than Brazil
      – ARGENTINA is wealthier than Brazil

      And ARGENTINA had a much much higher economic growth rate than BRAZIL over many years !

      On grains production
      – Except this year due to droughts, ARGENTINA produces 90 millions tons, BRAZIL 120 millions…..but….but….but…..


      But what does a BIMBO knows ? NOTHING ….that is why she became a Bimbo and had married a PIMP !

      But dont worry……BRAZIL EQUALS THE WORLD STRONGEST EMERGING MARKET….as per the yellow
      and green colors ad on top of this page.

      Proof that in Brazil….they are a bunch of JUNKIES….until proven otherwise.

      Viva Brazil ! Viva Argentina !
      Keep producing more and more and more CORN, WHEAT AND SOYBEANS !
      Guess what prices are going to be.
      Dont complain at the WTO anymore. Just look at the BNDES total agricultural SUBSIDIES !
      Viva the Mato Grosso farmers……shortly BANKRUPTED…..ONCE MORE !

      πŸ˜€ πŸ˜‰ πŸ˜€ πŸ˜‰ πŸ˜€ πŸ˜‰ πŸ˜€ πŸ˜‰

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