crop drought corn field farmer

Argentina to lift export duties on soybeans and corn

Spread the news!

Argentine soybean and corn farmers could be entirely exempt from export duties by Dec. 31, 2022, amid a severe drought in the country’s key regions that have affected crops. It is reported by “S& P Global Platts” referring to the information provided by the Rosario Grain Exchange representatives.

Thus, the centre-right coalition Juntos por el Cambio presented a bill in Parliament to eliminate export duties for farmers who grow soybeans and corn in regions where an agricultural emergency has been declared due to drought.

Argentina now has a 33% export tariff on soybeans and 31% on soybean oil and soybean meal, respectively.

Since November, most parts of the country have been experiencing severe drought, significantly degrading crop quality.

Mintec Global

According to the Buenos Aires Grain Exchange, about 31% of the soybean crop was in good or excellent condition, down 17% from a week earlier and down 56% from late December.

According to sources, the rapid deterioration in crop quality could reduce forecasts for 2021/22 MY (November-October) Argentine soybean production.

A local agricultural analyst said that Argentina’s oilseed crop could fall to 43 million tons, down from a forecast of more than 50 million tons earlier in the season, if weather conditions do not improve in the coming weeks.