Soybean processing in Argentina enters crisis with threat of drought

Published 2023년 3월 16일

Tridge summary

Argentina's soybean crushing plants are operating at their lowest-ever capacity due to a severe drought, leading to the country's lowest soybean production in nearly 25 years. The situation is causing a crisis in the grain processing sector, with idle industrial capacity approaching 70%. Farmers are withholding sales of stored grains due to fears of depleted reserves, leading to a decrease in February's sales of soybeans to the processing sector. There is concern that the country may need to import soybeans from Paraguay and Brazil to avoid factory closures.

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Original content

By Maximilian Heath BUENOS AIRES (Reuters) - Argentina's soybean crushing plants are operating at their lowest-ever capacity due to the impact of a brutal drought, the head of the country's main grain processing chamber said on Wednesday. Argentina, the world's biggest exporter of soybean meal and soybean oil, is expected to have a soybean production of 27 million tons this season, the lowest in nearly a quarter of a century, as a result of low rainfall and high temperatures, the exchange said. of Rosario beans from Argentina. In 2022, exports of soy by-products, Argentina's main source of foreign exchange, totaled 18.519 billion dollars. Gustavo Idigoras, head of CIARA's oilseed and grain processing chamber, said the sector faces a "crisis" with idle industrial capacity approaching 70%, the highest for when there are no protests. Although the 2022/23 harvest has yet to start, farmers are reluctant to sell stored grains, fearing that a meager harvest will lead to depleted reserves ...

Source: NoticiasAgricolas