Is it possible for Argentina to stop being the main exporter of yerba mate?

Mate

Tea

Argentina

Price

Supply

Published Mar 24, 2023

Tridge summary

Argentina's dominance as the leading producer and exporter of yerba mate has been challenged, with a 14% decrease in exports in the first two months of 2023, marking the lowest income in 10 years, according to a report from the Rosario Stock Exchange. This decline is due to increased competition from Brazil and Paraguay, which are expanding into new markets and offering lower production costs. Argentina's high production costs and the effects of exchange rate doubling have further diminished its competitiveness. The situation is particularly concerning in Syria, which accounts for 78% of Argentina's yerba mate exports, as other countries like Chile and Spain are also reducing their imports.

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

Original content

It is known: yerba mate is only produced in Argentina, Brazil and Paraguay, because it is a crop that could never be colonized and taken beyond the jungle where it was born. Argentina has historically been the world's leading producer and exporter of Yerba Mate, accounting for 60% of the global market. But Paraguay and Brazil have also begun to view foreign markets with interest, where Argentina's dominance has been a constant. That is why its exports have been growing. A report from the Rosario Stock Exchange (BCR) marks this dangerous decline, stopping at local exports of yerba mate in the first two months: it shows that "3.5 million kilos were dispatched, worth 8.77 million dollars”, which meant a 14% drop in currencies compared to 2022 and “the lowest income in 10 years”. “The export dynamics of Argentine yerba mate has decreased in recent years. The year 2023 began with a low rate of external shipments, both in value and in quantities," warned the BCR, which does not usually ...

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