During the month of March, agriculture took in $1,501 million, or 22% more relating to the same month of March of the year 2023 e a 61% improvement. in relation to this year’s cumulative figure compared to 2023.
The data comes from the monthly report of the Chamber of the Petroleum Industry of the Argentine Republic (CIARA) and the Cereal Exporters Center (CEC), entities that represent 48% of Argentine exports.
The Chamber of Agricultural Exports once again attributes the improvement “to the new export dollar regime effective from December 2023meager international prices and government macroeconomic movements impacting grain supply sales decisions.
However, they warned that grain exports “continues to operate at high levels of idle capacity, as well as the oil industry, which suffers from permanent negative margins.”
Monthly income in foreign currency, transformed into pesos, is the mechanism that allows us to continue purchasing grains from producers at the best possible price.
The regulation of foreign currencies is fundamentally linked to the purchase of cereals which will then be exported, both as they are and as processed products, after industrial transformation.
“Most of the foreign exchange earnings in this sector occur well in advance of the export, an advance that is around 30 days in the case of the export of cereals and up to 90 days in the case of the export of oils and flours . proteins”, they clarified. And they added: “This advance also depends on the period of the campaign and the grain in question, so there are no delays in the settlement of foreign currency.”
Meanwhile, CIARA-CEC have highlighted that, in this sector, Statistical comparisons between different periods are generally imprecise or inexactsince the settlement of currencies is strongly influenced by the commercial cycle of cereals, which depends on “several and changing exogenous factors”, such as international price fluctuations, the contraction of supply, the different volume and protein value of crops, climatic conditions , holidays, union measures and regulatory changes, among other things.
Finally, the oilseeds and cereals complex, including biodiesel and its derivatives, “contributed 50.1% to Argentina’s total exports in 2023, according to INDEC data.”
The country’s main export product is soybean meal (12% of the total), which is an industrialized by-product generated by this agro-industrial complex, which currently has a high idle capacity, close to 70%. The second most exported product last year, according to INDEC, was corn (11%) and the third was soybean oil (6.9%).
SN
Source: Clarin
