Drought drops Argentinian exports by 15.6%

The National Institute of Statistics and Censuses of Argentina (INDEC) released the price index and results of foreign trade, showing the quarterly evolution in exports and imports. One of the most striking takeaways from the data is the sharp decline in Argentine exports due to the drought.

According to the data, the quantity exported fell by 15.6% in the first quarter of the year compared to last year’s period, consolidating this as the third consecutive quarter of negative proportions. In turn, imports fell 6.5% year-on-year.

On the other hand, it was also observed that the Value of Exports Index fell 17.9% in the first quarter, mainly due to the lower volume of shipments (-15.6%) and, to a lesser extent, due to prices (-2.8%).

See below a chart displaying containerized export from Argentine maritime ports between Jan 2019 and Mar 2023, according to DataLiner.

Argentinian containerized exports | Jan 2019 – Mar 2023 | TEUs

Source: DataLiner (click here to request a demo)

In the first quarter of 2022, the Value of Imports Index fell 4.4%, driven, this time, by quantities (-6.5%), as prices rose 2.3%.

The impact of the drought was evident in the “quantities exported.” The year-on-year decline in the first quarter (15.6%), was far more significant than in Q4 2022 (0.7%). In the first quarter of last year, for example, there was a 2.7% growth in this regard. In fact, the sharp drop in exports of primary products (-39.4%) and “manufactures of agricultural origin” (-15.9%) stands out. On the other hand, the quantity exported in the category “fuels and energy” (13%) and “manufactures of industrial origin” (3.7%).

In imports, also in relation to quantities, only the category “parts and accessories for capital goods” grew 8.4%. “Capital goods” fell 16%, and consumer goods, 9.4%. Thus, the effect of the scarcity of foreign exchange and the restrictions caused by this became evident.

Furthermore, according to INDEC, “the Terms of Trade Index, which measures the relationship between export and import price indices, showed a 4.9% drop from the first quarter of 2022, due to a drop in the Export Price Index and an increase in the Import Price Index.”

Source: ámbito

To read the original article, go to: https://www.ambito.com/efecto-sequia-cayeron-156-las-exportaciones-primer-trimestre-n5714291

Sharing is caring!