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Why Taxing Beef Exports Is a Shot in the Foot?

Critical and Propositive Analysis

Introduction

The proposal to tax beef exports emerges as an attempt to contain rising prices in the domestic market. However, the measure, already tested in other countries such as Argentina, proves to be ineffective and harmful to the entire Brazilian production chain, requiring a deeper analysis and the search for smarter solutions.

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The Argentine Failure: A Lesson Ignored

Argentina serves as a clear example of the negative effects of taxing meat exports. The implementation of restrictive measures, aimed at controlling domestic prices, resulted in discouraging production, a drop in supply and, consequently, an increase in prices. Argentina, once a giant in exports, saw its share of the global market shrink drastically, a scenario that Brazil needs to avoid.

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Chain Consequences: Discouraged Production and Lost Markets

Livestock farming is an activity that requires long-term planning. Taxation discourages investment, leading to reduced production and, in the future, meat shortages. In addition, the measure damages Brazil's reputation as a reliable supplier, opening space for other countries to occupy important markets, such as China, the USA and the Middle East, which Brazil has fought so hard to conquer.

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Effective Measures: The Path to Sustainable Growth

Instead of palliative solutions, Brazil needs state policies that promote the sustainable growth of livestock farming. This includes guaranteeing legal security for producers, creating agricultural insurance against losses, investing in infrastructure to reduce the "Brazil cost" and encouraging technological modernization of the sector to increase productivity.

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The Future of Brazilian Beef: Leadership with Responsibility

Brazil has all the conditions to maintain its leadership in the global beef market. However, to do so, it is crucial to avoid measures that compromise production and competitiveness. The focus should be on creating a stable and favorable business environment that drives the sector's growth in a sustainable way.

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Next Steps

Taxing beef exports is not the solution to high prices, but rather an aggravation of the problem. Brazil needs to learn from the mistakes of other countries and invest in strategies that truly benefit livestock farming and, consequently, the Brazilian consumer, in addition to strengthening partnerships and its good reputation in the foreign market, proving to be a stable supplier.

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