Argentine and Brazil agribusiness have an “ecological surplus”

Economist Nicolás Torre, from the IERAL Institute of the Mediterranean Foundation, published an extensive thread on the social network Twitter, highlighting that both Argentina and Brazil have a positive “ecological footprint”. That is, they have more natural resources available than those they consume annually to survive. Torre’s report came in response to accusations against South America in recent weeks. First by The President of France, Emmanuel Macron, when he said that Brazil does not…

“Unbelievable! Argentina Crushes soybean exports with record-breaking 7.8m tonnes in just 2 months of 2024!”

In the first two months of the year, grain exports totalled just over 7.8 million tonnes, almost double the same period last year when 4 million tonnes were exported. The increase is due to the end of the drought, which is crucial for foreign exchange earnings.  Cargill and Viterra top the list of companies that control the business, following the collapse of Vicentin. Thus, the U.S. multinational Cargill led shipments of unprocessed grains with 15% of the total, about 1.8 million tonnes. Dreyfus came in second…

The 20 largest landowners in Argentina

Among those with the most concentration are businessmen and groups with 100 thousand and more than one million hectares of all types. Some, like Benetton or Cresud, by Eduardo Elsztain, are better known. Companies with Chinese, Swiss, and Chilean capital and low-level actors also appear. In the last few hours, the newspaper Perfil published a revealing and complete report with the 20 largest landowners in Argentina. Among the Argentine businessmen with the most significant number of hectares are Eduardo…

Recently appointed President Javier Milei has passed a “mega decree” that includes the repealing the land foreign ownership rules

The Government will remove the rule that in 2011 limited the sale of fields to foreigners. This law is amongst the 200 pages of other modified or removed to fire up Argentina’s economy and remove the damage that 70 years of Peronism have done to one of the world’s most important economies. These points, among others, are contained in the megadecree of necessity and urgency that the Government will announce. This Wednesday, according to reports, President Javier Milei will…

Investing in agriculture for 2023

Hardy investors are seeking new ways to grow their money. IN THE next 40 years, humans will need to produce more food than they did in the previous 10,000 put together. But with sprawling cities gobbling up arable land, agricultural productivity gains decreasing, and demand for biofuels increasing, supply is not keeping up with demand. Clever farmers, scientists and entrepreneurs are bursting with ideas. But they need money to make this jump. Financiers more often found buying and selling companies have cottoned…

Argentina’s worst drought in memory lands a new blow to the economy

Gross domestic product in South America’s second-largest economy, which desperately needs US dollars, will shrink 3 per cent this year, worse than the previous forecast for a 1.5 per cent contraction, as one of the worst droughts in recent memory ravages crucial farm exports.  Argentina’s looming recession will be more profound than first expected as one of the worst droughts in recent memory ravages crucial farm exports.  Gross domestic product in South America’s second-largest economy, which desperately…

Argentina’s land laws stifle sustainable agriculture

Fewer and fewer farmers grow soy, grains and cereals in Argentina. Though overall exports are at historic highs, over the past three decades the country’s land laws have allowed land to become increasingly concentrated in fewer hands and dedicated to the production of a smaller range of crops, census data shows. Experts say this agribusiness model based on short-term profit disincentivises sustainable practices. The combination of intensive agrochemical use, genetically modified seeds and direct sowing without…

Global crop supply fears send soybeans prices to the highest in six years

Soybeans traded at the highest level in more than six years as increasing demand from top importer China and dry weather in the major producing areas of South America spur growing concerns over global supplies. Prices have climbed more than 40 percent since March after China started snapping up cargoes to feed a massive increase in hog numbers as the country recovers from African swine fever. Now the development of southern hemisphere crops in Brazil and Argentina has been threatened for weeks by lack…

Panic Sweeps Argentine Pampas as Farmers’ Old Nemesis Returns – Peronism

All across the Pampas, in one wind-swept little farming town after another, a sense of dread has suddenly set in. Mauricio Macri, the man who championed the cause of the Argentine farmer, is almost certain to lose his re-election bid in October and will hand back the presidency to the leftist party that tormented the region for years. A primary vote held a few weeks ago made that clear. The concern is so severe that many here aren’t waiting for the actual election to confirm Macri’s defeat. They can’t,…

The incredible rally of the Argentine corn exports

The weekly RIA Consultores’ report shows this week that during the first half of the year, Argentina exported 17.1 million metric tons of corn, 44% up 2018 in volume and 32% up in value. This amazing growth is based on a 57 MMT record harvest and on bullish prices. According to the Agro-Industry Secretariat, during the 2018/19 campaign corn production peaked at 57 MMT, which 34 MMT will be exported and 9 MMT will remain as carryover for the next season. This week the International Grains Council stressed…

For the sixth consecutive month, the level of activity in the Argentine rural real estate market increased

Precios de la tierra agrícola actualizados 2016
Farmland sales and rentals increased by 18% in June, compared to May 2018 driven by the positive exchange rate stability and the rebound of the Governments popularity in recent surveys. The rural farm price index that measures the level of activity in the rural real estate market (Incair) grew again once again in June and accumulates six consecutive months of increases, reported the Argentine Chamber of Rural Real Estate (Cair). The indicator, which is based on the real estate operations carried out and surveys…

Argentina’s 2019 wheat crop expected to be a record

Argentine farmers are expected to plant 6.5 million hectares of wheat in the 2019/20 season, the government said in a report, citing good rainfall as the reason for the increase from its previous forecast of 6.46 million hectares. “Good soil moisture conditions have favored planting,” the agriculture secretariat said in its monthly grains report. Wheat in Argentina is planted in June and July and harvested in December and January. Some 39% of this season’s wheat crop has been planted so far, the report…

43% of Argentine Agricultural Producers believe that the economy will be much better in 2020

Agricultural producers have expectations about the future of the country somewhat similar to those of last year, according to the entity CREA. ( farmers techinical support organisation ) The survey, conducted in March of 1,233 CREA agriculture entrepreneurs, highlighted that 43% considered that the country’s situation would be better in one year, while in 2018, 46% thought that. In the past year and a half, they reported, “there was a progressive decrease in expectations”, although at levels…

Argentina: After the USD dollar rally, they expect up to USD 25 billion from this years harvest

This was estimated by the Ministry of Finance. Soybean exports will be the main foreign exchange generators for up to USD 17,200 million of this the 25 billion. In the midst of the strong rise of the USD dollar, the Government stressed that in the coming months they expect foreign exchange for up to 25 billion dollars. Soybean exports will be the main foreign exchange generators for up to USD 17,200 million. Corn exports would reach USD 4,874 million in 2019 (calendar year), with a conservative view, and thus…

It is expected that Argentina’s Ag futures will grow 35% this year

A good sign for the Argentine farm economy: during the past January, the Buenos Aires Futures Exchange (MATBA) operated 3.2 million metric tons of grains futures, growing 14% versus January 2017 and beating a new record for this month reaching 60 MMT. In the previous years (2015 to 2017) MATBA operated between 1.5 and 1.9 MMT of futures contracts in January. The first large step occurred in 2018 when volume jumped to 2.8 MMT, but now the trend seems to secure and the wheat is the “star” crop. As its output…
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