Wheat: Argentine exports to hit lowest point in eight years

Argentina’s wheat exports are expected to hit their lowest point in eight years. Due to climate effects, especially La Niña ravaging the country’s crops for the third consecutive reason, the Rosario Grains Exchange (BCR) projects 6 million tonnes exported.

Argentina’s foreign sales declarations (DJVE), which account for the volumes already committed to exports, are close to 8.9 million tonnes. However, the government allowed part of this volume to be exported in the next season since there were not enough stocks available this season.

See below the record – in terms of TEUs – of the wheat (hs 1001) exported by Argentina between January 2019 and October 2022. The data is from DataLiner.

Argentine Wheat Exports | Jan 2019 – Oct 2022 | TEUs

Source: DataLiner (click here to request a demo)

Season-ending stocks are forecast at 1.72m tonnes, the lowest in five seasons. In 2017/18, there were 1.2 million tonnes in stock. Production in the current season is forecast at 11.5 million tonnes, half of last year’s 23 million. This is the lowest crop since 10.9 million in 2014/15. Productivity, at 2.3 tonnes per hectare, is the weakest since 2008/09, when 2.11 tonnes per hectare were harvested.

Finally, Argentine wheat prices reported by industry regulators, measured in dollars per ton and converted at the official exchange rate, show values much higher than the market average and are the highest since 2012/13. The information is from the CMA Latam Agency.

Source: Canal Rural

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