Agenda Profile: Arvo Aller
First Reading of the Draft Act on Amendments to the Value Added Tax Act (286 SE)
2024-02-21
15th Riigikogu, 3rd session, plenary session
Political Position
The political stance involves strong support for reducing the Value Added Tax (VAT) on foodstuffs to 5%. This measure aims to enhance food security for low-income families and stimulate domestic production. This position directly opposes the government's high taxation policy, which is widely regarded as inefficient and detrimental to economic growth. The framing of the proposed bill is heavily value-driven, centering on food security and the survival of Estonian producers.
16 Speeches Analyzed
Topic Expertise
The speaker demonstrates expertise in agriculture and fiscal policy, citing specific data regarding the sector's loss (negative 70 million euros) and outstanding invoices. Statistics are utilized concerning EU VAT rates, the proportion of direct subsidies, and the productivity of Estonian dairy cows (nearly 12,000 kg per cow). Economic explanations are also provided regarding the impact of tax reductions on state budget revenues, referencing previous experience with lowering excise duties.
16 Speeches Analyzed
Rhetorical Style
The rhetorical style is concerned and pressing, emphasizing the need for immediate action to alleviate the hardships faced by people and farmers. It employs both logical economic arguments (stimulating consumption, increasing revenue) and emotional references to food security, children's nutrition, and the tenacious spirit of the Estonian farmer. Specific examples are used to illustrate the crisis, such as the bankruptcy of the Pajumäe farm.
16 Speeches Analyzed
Activity Patterns
The speaking style is connected to defending and clarifying the first reading of a specific draft bill (286 SE) in the Riigikogu. The activity is focused on justifying the bill and answering questions from colleagues, emphasizing EKRE's role as the initiator.
16 Speeches Analyzed
Opposition Stance
The opposition is directed against the government's tax policy, criticizing the tax hikes and their negative impact on the economy and the agricultural sector. The criticism is policy- and results-based, highlighting that the tax increase has failed to secure the expected revenues. Separately, the regional minister (a representative of the Social Democrats) is criticized for failing to find solutions to the agricultural crisis.
16 Speeches Analyzed
Collaboration Style
The style of cooperation is open to questions and accepts the descriptions of problems presented by colleagues, but the focus remains on defending the bill initiated by its own faction (EKRE). Emphasis is placed on EKRE's previous merits, such as the allocation of 200 million euros to the Rural Development Foundation (MES), which demonstrates a readiness to support the sector's financing.
16 Speeches Analyzed
Regional Focus
The focus is strongly national and sector-specific, centering on domestic food producers, Estonian farmers, and consumers. Emphasis is placed on Estonian food security and the need to improve the availability of domestically grown potatoes, fruits, and vegetables. The international context is used for comparison (EU direct payments and Green Deal restrictions).
16 Speeches Analyzed
Economic Views
Economic perspectives advocate for lowering taxes (reducing VAT to 5%) to stimulate consumption and investment, based on the belief that this will ensure a long-term and stable revenue stream for the state budget. Support is provided to micro and small enterprises, offering them certainty and flexibility to enhance their economic activities. It is stressed that tax hikes reduce consumption and compel people to opt for cheaper, often imported, products.
16 Speeches Analyzed
Social Issues
The main social issue is the accessibility and quality of food, especially for low-income families and children. Lowering the VAT is viewed as a direct measure that would improve access to fresh fruits and vegetables and make school meals more affordable for local municipalities. It is stressed that the current situation forces people to make purchasing decisions based on price rather than quality.
16 Speeches Analyzed
Legislative Focus
The legislative focus is currently on the draft bill to amend the Value Added Tax Act (286 SE). This bill proposes introducing a 5% VAT rate for foodstuffs, including fruits, vegetables, and potatoes. The speaker is a strong proponent and initiator of this measure, stressing that it represents the initial and most minimal step required to improve the current situation.
16 Speeches Analyzed