Weak crop will force Argentina to import more soybeans from Paraguay and Brazil

Published 2023년 3월 16일

Tridge summary

The USDA has predicted a third consecutive month of cuts in Argentina's soybean harvest volumes due to drought, estimating a 33 million ton low, the smallest in 14 years. To compensate for the shortage, Argentina is set to import a record 7.25 million tons of soybeans, a significant increase from previous reports. Its main suppliers are expected to be Paraguay and Brazil, with Paraguay accounting for 90% of its soybean exports to Argentina. Argentina's soybean imports are anticipated to see the second largest growth in the 2022/23 harvest, following China. The country's supply and milling activities are expected to have implications for the global trade of soybeans, protein meal, and vegetable oils.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

For the third consecutive month, the USDA estimates new cuts for soybean harvest volumes in Argentina due to the effects of the drastic drought, which would reach 33 million tons (the lowest figure in 14 years). To help offset the shortage of national supplies of this grain, the international organization forecasts that during this harvest Argentina could import a record 7.25 million tons, an increase of one million tons compared to the February report and 3.41 million tons more than what was acquired in the previous season. Paraguay and Brazil appear as the two main soybean supply options for Argentina. In fact, in the recent Foreign Trade report of the Paraguayan Chamber of Exporters and Marketers of Grains and Oilseeds (Capeco) it is mentioned that at the end of February of this year, 90% of Paraguayan soybean exports were destined for Argentina. . Argentina is also expected to register the second largest increase in soybean import growth in the 2022/23 harvest, behind China. ...

Source: Productivacm