Argentine Economy

[QUOTE=Redondo]Thanks for your explanation, hopefully you will do ok.

I do think that most argiculture products will stay high unless there is a major recession that also drags Europe and far East down.[/QUOTE]I think ag will stay high, compared to a few years ago. The reason is China and India. As well as bio fuels. But that does not mean that it cannot drop from where it is here. Agricultural commodity are up over 56% this year, it could pull back 20% and still be very high, compared to the passed prices. I have a feeling it will pull back.

Even with the pull back, Argentina should do ok, since prices are very high compared to historic prices. Argentina has had a gift, with these high ag prices. If not, it's economy would be in trouble. This gov. Likes to micro manages the economy too much, which impedes growth. But they been lucky with ag prices so high.

That was my orignal point as well. If it comes down to argiculture, Argentina is well positioned.

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Okay Redondo,

You've been getting too chatty lately, so your next post must be a first hand narrative of an experience you had with a working girl here in BsAs.

Thanks,

Jackson[/blue]

[QUOTE=Redondo]Looking at TN, Cristina and Argentina probally find a way to shoot themselves in the food[/QUOTE]Soybeans in Chicago Rise Trading Limit on Argentina Protest.

[url]http://www.bloomberg.com/apps/news?pid=20601012&sid=ag9PRDGbWREI&refer=commodities[/url]

If farmers plant fewer crops in protest, then they will shoot themselves in the foot.

[QUOTE=Tessan]Soybeans in Chicago Rise Trading Limit on Argentina Protest.

[url]http://www.bloomberg.com/apps/news?pid=20601012&sid=ag9PRDGbWREI&refer=commodities[/url]

If farmers plant fewer crops in protest, then they will shoot themselves in the foot.[/QUOTE]They won't but government will roll back taxes.

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Okay Redondo,

You've been getting too chatty lately, so your next post must be a first hand narrative of an experience you had with a working girl here in BsAs.

Thanks,

Jackson[/blue]

[QUOTE=Redondo]They won't but government will roll back taxes.

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Okay Redondo,

You've been getting too chatty lately, so your next post must be a first hand narrative of an experience you had with a working girl here in BsAs.

Thanks,

Jackson[/blue][/QUOTE]Redondo will present his on-going "first hand experience" with the escort "Maria Palma" (Mary Palm)

La construcción creció 11,5 por ciento en marzo.

Es según el Ã*ndice Construya, que cuantifica la evolución mensual del sector según la comercialización de los insumos. De esta manera, subió 2,78 por ciento respecto del mes de febrero último.

La construcción creció 11,5 por ciento en marzo.

Imprimir.

Enviar a un amigo.

Aumentar - Reducir tipografÃ*a.

La actividad del sector de la construcción, medida según la comercialización de sus insumos, creció en el mes de marzo 11,5 por ciento de manera interanual why subió 2,78 por ciento respecto del mes de febrero último, según el Ã*ndice Construya difundido hoy.

El Ã*ndice Construya cuantifica la evolución mensual del sector a través del accionar de las compañÃ*as que conforman la asociación del mismo nombre.

El grupo Construya se creó en el año 2002 why reúne a las empresa Grupo Later-Cer, Cerámica Quilmes, Sherwin Williams, FV, Loma Negra, Cerro Negro, Klaukol, Aluar, Acer Brag, Plavicon, El Milagro, Ferrum, Durlock, Masisa why Dema-Aqua System.

Source: Canal 26

Seems like the construction boom is lasting for a while more.

11% growth in the construction sector from febuary untill march

Had an interesting discussion on Tuesday night with one of the senior Argentinian managers of Amway. For the uninitiated, this is a USA outfit out of Michigan that sells cleaning and personal hygiene products by direct marketing. Operate in all the western world and now in the asian markets. In fact China is their number two market.

Since the 'corralito' of 2001/2, they have been contracting the manufacture of their products to local factories. They now have just-on completed a reverse and are back to sourcing their products out of Michigan. The reason: solely price.

For me this is unbelievable. It is cheaper to ship product produced in the USA to Argentina, go through the bullshit associated with all that Argentinian Customs can throw at you, pay 50% duty plus 21% IVA and still be less than the local cost. This is precisely one of the reasons for the complete collapse of what little manufacturing that did take place before 1995. Imports were cheaper.

Another note on a similiar vein. I have just been in Peru for a few days. Men's shoes there are about 30% of Argentinian prices and of a similiar quality. The shoe industry in Argentina collapsed as far as manufacturing, in the mid 1990's and really only got going again in 2003. If what is true of soap, despite the 50% tarif, is true of all manufacturing, and the shoe comparison is indicating that, industrial Argentina is about to hit a brick wall.

Internal inflation without subsequent adjustments in exchange rates, is a deadly virus in an economy. Eventually the internal wages are so huge that the only industries that can survive are those that are oriented towards services for the local population. So manufacturing, foreign in-bound tourism, ie. Mongering; and all external oriented products including agriculture becomes unprofitable. And it looks like it is just on the cusp of happening.

So despite Jackson's mantra of 'all of a sudden, my favouite place for pussy became a third of the price', as we all know, the cost has since doubled and shows no sign of tapering off.

Hang on!

Argento

It was especially bad here last night. Riding up the Avenida de Julio I could see it thick in the air. The taxi I was in did not know why it was so smoky. This morning from the top of the building here I can still smell it outside and see it. What the heck it it. Anyone know. Do all the peasants burn wood at home to eat and heat water or what!

[QUOTE=Argento]So despite Jackson's mantra of 'all of a sudden, my favouite place for pussy became a third of the price'[/QUOTE]That statement was accurate back in 2002 when I made the evaluation. Now, my assessment is that is costs the same to live in BA as it does in any mid-size city in the USA.

Thanks,

Jackson

Water, gas, electricity, public transport, health care, long term rents, taxi, maid service, telecomunicating, internet are all cheaper

[QUOTE=Redondo]Water, gas, electricity, public transport, health care, long term rents, taxi, maid service, telecomunicating, internet are all cheaper[/QUOTE]I would add food to that list also.

However, electronics, cars, and quality clothing are as much if not more.

[QUOTE=Jackson]That statement was accurate back in 2002 when I made the evaluation. Now, my assessment is that is costs the same to live in BA as it does in any mid-size city in the USA.

Thanks,

Jackson[/QUOTE]I couched your mantra in the past tense. I didn't mean that you were expousing that now. Comparisons are interesting in South America. Per capita Gross Domestic Product for Argentina, Chile and Peru are within U$1000 of each other. Argentina is still marginally cheaper for food than Chile but the quality offered here, meat excepted, is very poor quality. And even the meat is very poorly presented. By the time you trim or throw out the damaged fruit and vegetables here, the price difference would be zilch, the quality and freshness (or should I say the staleness of Argentine produce) much inferior. In comparison, the quality and range of fresh, raw food in Peru is outstanding and half the Argentine price. Pity about the way they destroy it, cebiche apart, when you buy it in the majority of eating houses. The meat, chicken very ordinary; the fish when fresh looks great, but they have never heard of ice or refrigeration. Sashimi, forget it. You would need to be a magician to get it presentable. Quantity before quality is the guiding star.

[QUOTE=Schmoj]I would add food to that list also.

However, electronics, cars, and quality clothing are as much if not more.[/QUOTE]But that is not really related to cost of living. And if you fly back home once or twice a year you can buy most stuff in the USA.

Going out in general is cheaper as well, air travel is probally more expensive (if you are not a citizen)