Argentine farmers, govt. trade blame over strike

By Nicolas Misculin

BUENOS AIRES, May 9 (Reuters) - Argentine government officials and farm leaders traded accusations on Friday, blaming each other for causing the second farmers' strike in less than two months.

A day after renewing their protest over soy export taxes, thousands of farmers held roadside demonstrations and assemblies, criticizing government farm policies as they withheld grains sales in an effort to disrupt shipments.

Farmers are currently harvesting crops across the country, the world's second-largest corn exporter and the third-biggest soybean supplier.

Cabinet Chief Alberto Fernandez, who led talks aimed at averting a strike before the discussions collapsed earlier this week, accused farm leaders of being unwilling to find a solution.

"They've gone crazy. We offered to talk about their problems, but they didn't want to," he local radio.

Farmers are calling for changes in a new sliding-scale tax system that pins export taxes to international prices. The measure, imposed by President Cristina Fernandez in March, raised levies on soybeans to about 40 percent at current prices from the previous fixed rate of 35 percent.

She defends the move as away to redistribute wealth and contain inflation. The tax hike also increases government revenue from farm exports, which have boomed thanks to increasing demand from China and India.

But the tax change angered farmers who were already disgruntled by a string of government policies intended to keep food costs down, like price controls and export restrictions on wheat and beef.