Farmers have been protesting against the tax scheme since March [AFP]

Tens of thousands of farmers and government supporters have staged rival protests in Argentina over the country's farm crisis ahead of a crucial vote in the senate.

Months of bitter farm strikes generated by a proposed tax scheme on grain exports have led to food shortages and a looming political crisis in the South American nation.

The senate is on Wednesday expected to vote on a bill that will levy taxes on the country's lucrative grain exports, a move the farm group has threatened to challenge in court.

The lower house passed the bill earlier this month.

Farm leaders have urged legislators to reject the bill saying that rural economies will be crippled because tax revenues will not reach the provinces where corn, soya and other grains are grown.

'Robbing the provinces'

"We are here to give our support to those senators who are willing to help their country," Mario Llambias, head of the Argentine Rural Confederation, said.

"The government can't keep robbing the provinces."

Cristina Kirchner, the Argentinian president, who in March announced a more than 10 per cent sliding-scale hike on export taxes on grains, agreed to put the proposed scheme to a vote in congress in an effort to ease the standoff.

The situation has pushed Kirchner's popularity down to just to 26 per cent, according to an opinion poll conducted in May.

The senate vote is expected to be close but both sides say they will respect the final outcome, and end nearly four months of farm disputes.

Hector Timmerman, the Argentinian ambassador to US, said Argentina was now trying to redistribute wealth "through laws, handed down from the legislature and public debate".

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