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| Argentina Senate rejects farm tax | Argentina Senate rejects farm tax |
| (11 minutes later) | |
| The Argentine Senate has narrowly rejected controversial tax increases on agricultural exports that have provoked repeated protests by farmers. | The Argentine Senate has narrowly rejected controversial tax increases on agricultural exports that have provoked repeated protests by farmers. |
| With senators tied 36 to 36 after more than 16 hours of debate, Vice-President Julio Cobos cast the deciding vote to reject his government's proposals. | With senators tied 36 to 36 after more than 16 hours of debate, Vice-President Julio Cobos cast the deciding vote to reject his government's proposals. |
| The outcome is a blow to President Cristina Fernandez, correspondents say. | |
| Farmers said the taxes would be crippling, but the government said they were needed to fight poverty. | Farmers said the taxes would be crippling, but the government said they were needed to fight poverty. |
| May history judge me, my vote is not for, it's against Julio CobosArgentine vice-president | May history judge me, my vote is not for, it's against Julio CobosArgentine vice-president |
| Farmers have won a critical battle but the dispute is not over and Argentina faces some tough days and weeks ahead, says the BBC's Daniel Schweimler in Buenos Aires. | Farmers have won a critical battle but the dispute is not over and Argentina faces some tough days and weeks ahead, says the BBC's Daniel Schweimler in Buenos Aires. |
| The government has said that it will seek another vote in the lower house, which passed the measures earlier this month. | The government has said that it will seek another vote in the lower house, which passed the measures earlier this month. |
| Food prices | Food prices |
| Mr Cobos, who is also leader of the Senate, said it had been "the most difficult day of my life". | Mr Cobos, who is also leader of the Senate, said it had been "the most difficult day of my life". |
| Close to tears, he cast his deciding vote. | Close to tears, he cast his deciding vote. |
| "They tell me I must go along with the government for institutional reasons, but my heart tells me otherwise. May history judge me, my vote is not for, it's against," he said. | "They tell me I must go along with the government for institutional reasons, but my heart tells me otherwise. May history judge me, my vote is not for, it's against," he said. |
| Farmers and government supporters held rival demonstrations | Farmers and government supporters held rival demonstrations |
| In a Buenos Aires park, hundreds of farmers and their supporters erupted in cheers after watching the vote on big-screen televisions. | In a Buenos Aires park, hundreds of farmers and their supporters erupted in cheers after watching the vote on big-screen televisions. |
| Argentina is a major producer of soya, grains and beef, which fetch high prices on international markets. | Argentina is a major producer of soya, grains and beef, which fetch high prices on international markets. |
| The dispute between the government and farmers began in March, when President Fernandez's government raised taxes on soya exports from 35% to 45%, and imposed new taxes on other farm exports. | The dispute between the government and farmers began in March, when President Fernandez's government raised taxes on soya exports from 35% to 45%, and imposed new taxes on other farm exports. |
| The government argued that they needed to raise taxes on agricultural exports to help build a new Argentina. | The government argued that they needed to raise taxes on agricultural exports to help build a new Argentina. |
| It said farmers could afford to pay more, as they were benefiting from high prices. | It said farmers could afford to pay more, as they were benefiting from high prices. |
| The authorities also accused farmers and their supporters of undermining democracy by refusing to respect the wishes of the elected government. | The authorities also accused farmers and their supporters of undermining democracy by refusing to respect the wishes of the elected government. |
| However, farmers' leaders said that any profits needed to be reinvested so that Argentina, one of the world's leading agricultural producers, could help to feed a hungry world. | However, farmers' leaders said that any profits needed to be reinvested so that Argentina, one of the world's leading agricultural producers, could help to feed a hungry world. |