21 September 2012 22:37 [Source: ICIS news]
MEDELLIN, Colombia (ICIS)--The Argentine government will charge a 19.1% tax rate for soybean biodiesel exports during the next 15 days, Deputy Economy Minister Axel Kicillof said on Friday.
President Cristina Fernandez de Kirchner announced earlier that from now on biodiesel exports will be charged a variable tax rate linked to prices.
Soybean biodiesel export taxes will be changed every 15 days, Kicillof said.
Producers of all sizes have asked for a sliding-scale that will be applied and updated every 15 days because of the constant movement in biodiesel prices.
Last month, Argentina raised its levy on biodiesel exports to 32% from about 20% in a bid to boost domestic supplies and help reduce costly fuel imports.
The global price for biodiesel has since plunged and has forced the government to come up with a more flexible tool, sellers in the region said.
Small-scale producers have said the combined impact of higher export taxes and lower domestic prices would put many plants out of business.
The spot bid/offer range for September was unchanged amid a quiet market at $1,200-1,250/tonne (€924-963/tonne) FOB (free on board) at the Argentine port of Rosario.
The South American country is the world's biggest exporter of biodiesel.
($1 = €0.77)
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
Asian Chemical Connections