The drought has not only affected exports and exacerbated the foreign trade deficit. THE international prices also played against it with its consequence: lower foreign exchange revenues of almost 1,200 million dollars.
Thus, in the first 4 months of this year export prices fell 4.7%while the import prices have risen 0.4%.
This means that, compared to a year ago, there was “a loss of terms of trade of Argentine trade volume of US$ 1,173 million,” according to INDEC.
The official numbers say so In the first quarter of 2023, the foreign trade deficit was $1,469 million. If year-ago prices had been held, that shortfall would have been smaller, at $296 million.
This foreign exchange loss started in January with a $74 million shortfall, climbed to $249 million in February, climbed again to $530 million in March and $320 million in April. A new decline is expected in May due to the decline soybean prices.
The decline in export prices It hit almost all articles, with the exception of primary goods, which increased by 2.9%. Manufactured goods of agricultural origin (MOA) decreased by 5.5%. Manufactured goods of industrial origin (MOI) decreased by 7.8% and fuels and energy decreased by 12.1%.
“As regards prices, those of crude soybean oil decreased (-19.8%); refined soybean oil, in containers (-5.2%); and biodiesel and its blends (-8.2%). On the other hand, the prices of soybeans, excluding sowing, increased (36.5%); and flour and pellets from soybean oil extraction (6.3%),” the INDEC report states.
In the first 4 months of this year, the foreign trade deficit was $1,469 million, while in the same period in 2023, it was a surplus of $2,840 million.
This was mostly because exports declined both because of lower prices (-4.7%) as for smaller amounts exported (-17.4%).
In terms of quantities and volumes exported, primary goods (-44.1%) and agricultural manufactured goods (-17.0) were the hardest hit. On the other hand, the exported quantities of industrial goods (+3.7%) and fuel (+13.3%) increased.
As for the quantities, those of biodiesel have decreased and mixtures thereof (-34.8%); flour and pellets from the extraction of soybean oil (-34.0%); soy, excluding for sowing (-29.3%); and crude soybean oil (-23.7%), while those of refined soybean oil, in packages (6.7%) have increased”, according to the INDEC Report.
Source: Clarin
