The Buenos Aires Cereal Exchange reported this Thursday (07.20) that Argentina has finished the soybean harvest with a total volume of 57.7 million metric tons produced, which is the second largest volume in 17 years. The average yields, on the other hand, were the highest in history.
Category Archives: Soybeans
All Argentinian ports, including Buenos Aires and Rosario, will not work for 48 hours, affecting grain exports, starting tonight. Unions complain that maritime safety is treated as “just another commodity”. In practice, no barge will be able to leave the country in that period. Unions seek new regulations that would assure the safety of professionals in local ports, channels, and rivers.
The country of Uruguay has released its new official grain stock numbers. The South American country has 1.4 million metric tons of soybeans, 123,157 tons of corn and 305,140 tons of wheat. The majority of the soybean stocks are located in the region of Colonia, while there is more corn in Rio Negro. The data is from the Ministry of Livestock, Agriculture and Fishery.
Argentina’s agricultural exports moved US$ 10.9 billion in the first six months of the year, according to data from the Center of Cereal Exporters. During last week alone, the sector moved US$ 308.7 million. Compared what was exported in 2016, it represents 45.6 percent of the sum of the whole year.
The Buenos Aires Cereal Exchange has issued a new report this Thursday (06.22). It says that the institution ratifies its estimate for Argentina’s soybean production in this season at 57.5 million metric tons. This happens as there are only 1.1 million acres to be harvested yet. The volume would be only below the record of last year (60.8 million metric tons), but yields would be the highest in history even with the reported floods and the highest losses in 17 years.
The government of Paraguay has already sent a bill to the Paraguayan Congress that would impose taxes at a rate of 15 percent for all grains exported from the country. President Horacio Cartes believes he has enough votes to approve the measure in an agreement with the leftist opposition. Paraguay, today, is the fourth largest exporter of soybeans in the world with 6.3 million metric tons shipped. The argument of the Paraguayan government is that the agricultural sector has a revenue of over US$ 3 billion, but contributes less than other sectors of the economy. This year alone, the soybean output in Paraguay overcame 10 million metric tons.
In December of 2015, Argentina eliminated export taxes on wheat and corn. The result of the elimination was the doubling of wheat production and generating a growth of two percentage points of corn production. A program of reduction of export taxes on soybeans until its elimination in 2019 was also set.
Because of a conflict that is extended for over four days, there are over 60-grain barges stuck in the region of Rosario, the main export port of Argentina, and that can generate losses of up to US$ 25,000 per boat. Workers of the oilseed complex of Rosario demand an update of the regional minimum wage. The total loss in these four days is estimated at US$ 1.5 million. There is no sign that the strike could be lifted anytime soon.
A high probability that rains might affect the south of the Buenos Aires province region in Argentina with a few interruptions with sun and thunders, marking instability with the cold front. That is what is being told by the Rosario Board of Trade this week. The volume of raindrop would overcome 3/8 inches. For after Sunday, lower temperatures are forecast.
The volume of wheat exports in Argentina reached 8.9 million metric tons in the 2016/2017 season crop and would beat a new record, according to the Rosario Board of Trade. In the 2011/2012 season, the previous registered for the winter cereal, the sales reached a total of 13 million metric tons.
The Rosario Board of Trade forecasts that a record volume of corn would also be exported with the total of 24 million metric tons that would be sold abroad with the record reached by mid-June.
The bad news would just stay with soybeans. The oilseed has the worst sales in six years and total sales accumulated in the year is four million metric tons, which is less than wheat, and below the average of 5.85 million metric tons of the last five seasons. The reasons for the lower exports of soybeans is the local export taxes at a rate of 30 percent and also the lower price of the oilseed in the international market.
The sales of soybeans in Argentina have jumped 49 percent in one week overcoming 1.5 million metric tons in the period. On the other hand, the sales are still behind of what was registered at this point in 2016. The rebound of sales was due to the recovery of prices, but farmers are unhappy with the exchange rate and prices below US$ 250 per ton. The volume sold in 2017 is at four million metric tons, while the average for the first five months in the past five yars is 5.85 million metric tons.