Argentine grains and derivative exports see second-best February in 18 years

Data from the two entities that represent 40% of total Argentine exports – CIARA (the Argentine chamber of oil industries) and CEC (the cereal exporters center) – point out that Argentine exports of grains and derivatives generated revenues of US$ 1.8 billion in February.

This is the second-highest value for the month of February in the last 18 years. The highest was recorded in 2014 when February shipments generated US$ 1.89 billion.

According to the entities, last month’s amount represented an increase of 122% compared to the revenue generated in the same month of 2020. In comparison with January, there was a decrease of 15.4%.

“This result is explained by the increase in international prices of industrialized products based on soybeans and commodities in general, in addition to the regularization of delayed shipments and the liquidation of inventories to facilitate the entry of the next harvest”, announced the entities in a note.

The revenue from the exchange variation is fundamentally related to the purchase of grains that will later be exported in the same state or as a processed product, after an industrial transformation. Most of this foreign exchange revenue is produced well before export: about 30 days in advance in the case of grain exports and up to 90 days in the case of exports of protein oils and flours.

In the two months, revenue from exports of grains and derivatives reached US$ 3.95 billion, an amount 63% higher than that accumulated in the first two months of 2020. The main product exported by the sector is soybean meal, which accounts for 13% of the total amount sold by the country abroad.

Source: Valor Econômico

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