When the “war” against inflation begins, there are more doubts than the certainty of the team that will carry it out.

As President Alberto Fernández anticipated, a few hours after the start of the fight against inflation, the government faced the necessary weapons to combat inflation and price fluctuations in February. The effect of the incident has not yet been defined.Private sector and itself.Business executive.Over the past few hours, mutual contact between the three ministries and institutions that combine economic policy measures with the State Department has intensified.

There are many factors that must be taken into account when analyzing the strategies implemented by the administration. Three generals and one lieutenant are in charge of pricing departments with different cases and levels of authority. The first group included three ministers who were members of the organization chart (Martin Guzman of Economics, Matthias Krupas of Production and Development, and Julian Dominguez of Agriculture). We have Krupas, Roberto Ferretti and Minister of Internal Trade.

The three ministers were most reluctant to consider options that the government considers exceptional due to the adjustment of export tariffs, even for two agricultural products that they tried to differentiate from primary production without industrial intervention. According to this logic, soy flour and oil derived from soybeans prefer value-added goods at a lower rate than crops, at least until the increase is formalized.

Without going any further, Minister Domínguez assured that the war began in Ukraine just 13 days ago and that export tariffs would not increase even if international prices rose. Other sectors of economic equipment also shared a diagnosis with the microphone turned off. Local gondolas recorded a three-week increase in global value and sustained government security impact, changing the scenario and identifying strong withholding options.

Although Ferretti is not as authoritative as the three ministers, in recent weeks he has taken stronger measures to build a containment dam through the political end of Vice President Christina Kirchner. He was also the only official who publicly acknowledged that the government was losing in a “battle” that anticipated Alberto Fernández's war metaphor for food growth.

A tug of war between the four economic policy-making terminals affecting prices ultimately supported the position of Minister of the Interior, Guzman said that if the government does not take action in the past few hours, there will be a “serious regression shock” in relation to inflation. Recently, Kurfus, who held official duties for Dubai, remained silent, and Dominguez stepped up his stance on meat exporters who threatened to withdraw from the public price reduction agreement.

“I just finished a meeting with the ABC consortium. Those who do not follow their commitment to Argentina said they could not continue to export to Argentina. meat. We have made this decision in a situation that exacerbates the crisis that livestock is experiencing due to rising food prices around the world, droughts, fires in Corrientes and wars that led to a shortage of heads of 1.5 million people,” the official said on Twitter.

The measures that governments can take to counter inflation are of course recognized and limited, avoiding large avalanches in the short term rather than presenting them as a “package”, at least for now. We decided to present it as an emergency measure. In this sense, on the one hand, there may be an increase in reserves of soy flour and oil; the administration has ruled out the formation of trusts agreed with exporters and supermarkets to subsidize the increase in cereals such as corn or wheat, or local prices for certain products.

This is an experiment in which the government has already tried products such as oil, which lasted until January 2023, and recently Ferretti made a similar plan to promote wheat products. Tensions with agricultural leaders after the closure of soybean flour and oil exports on Sunday raised the question of whether the government could take measures that would require consensus. For example, CIARA's Chamber of Commerce already warned that an increase in the amount of withholding would result in removal from this type of program.

At the currency level, the central bank can work with the technical team of the Monetary Fund to adjust the benchmark rate level to match the expected inflation rate to make local currency returns even more attractive.This type of decision could be made tomorrow Thursday after the end of the board of directors of the organization chaired by Miguel Pesce.

The four terminals of economic policy related to prices have hampered strong confidentiality in the last few hours. Among mass consumer entrepreneurs consulted by Infobae and in regular contact with government authorities, more serious price control measures such as price freezing due to internal trade from October to January have not yet been notified.

On Tuesday, Daniel Funes de Rioja, president of the Industrial Union of Argentina (UIA) and head of Copal, a business center that gathers food rooms from all over the country, was included in the price of the administration and began talks with internal trade authorities, anticipating an increase of 1,300 products. Given the new freezing of the government, “no one wants to participate in a voluntary money-losing program, and it must be eliminated by resolution,” said an executive at a major mass consumer company.

“The 4.7% inflation rate in February surged in the spring due to price freezes from October to January. We are motivated to keep the product at a management price, but we want to be reasonably honest about how much it costs,” another businessman insisted.

Entrepreneurs are waiting for an official call to decide whether other price control plans exist in the next few hours.In addition, it is still unclear whether the authorities will change as part of a new “war” against inflation, or whether all officials in the economic region will hold their positions, as Alberto Fernández anticipated.

“In domestic trade, we are pushing to add more products and more products within the program,” said another mass consumer company executive. “I'm worried because all the goods at the price of care are jumping out of the gondola, everything is sold and practically frozen, so no one can send impressions to the supermarket without prior approval,” he exclaimed.

It seems that the first initiative of the “war” against inflation was carried out yesterday afternoon by Ferretti. In the afternoon, officials from all over the country gathered on the 9th floor of the Ministry of Production and Development to celebrate the “Consumer Rights Day”. A few minutes later, Indc showed an inflation rate of 4.7% in February, the biggest food rise in five years.

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