Local soybean and corn prices are close to 2021 values in Argentina

Maize (Corn)

Soybean

Argentina

Published Aug 2, 2022

Tridge summary

After reaching highs with the warlike outcome of the Russian-Ukrainian crisis, the local prices of soybeans and corn have been showing successive downward trends. The price drops are explained in part by the seasonal pressure of the Argentine thick harvest. As the new corn campaign begins in March and the soybean campaign in April, it is expected that prices will drop as coarse grains are harvested and exported.

Original content

However, this year has been characterized by a particularly pronounced downward trend for coarse grains. Since the nominal maximums in mid-March, soybeans have accumulated a price drop of 25%, taking the CAC prices in pesos measured in buying dollars from the BNA. This panorama diverges substantially from what happened in previous years. Between April and the end of July 2021 and 2020, local soybean prices showed increases of 8.8% and 0.3%, respectively. If we go to the 2017-2019 triennium, we find drops of 2.2%; 7.5% and 2.2% for this same period. In the case of corn, the drop in prices is even more pronounced. The fall of the yellow grain accumulates almost 31% from the annual maximums in March. Losses were also observed in previous years, although relatively minor. In the last five years, an average drop of 6.7% has been recorded for this same period. In this bearish framework, local prices measured in dollars are 14% and 13% above last year's values for the respective cases of ...

Source: Chacra Magazine