Post lowers its 2022/2023 estimate for Argentine soybean production to 23.9 million metric tons (MMT). This production estimate is the lowest in 24 year and the yield estimate is the lowest in almost 50 years. As a result of the drought, Post estimates that Argentina will need to import a record 11 MMT of soybeans to achieve a crush of 29.5 MMT.
What are the two main oilseed crops in Argentina?
Soybean and sunflower are the two major oilseed crops in Argentina. Although sunflower has a longest-standing tradition (production dates back to the 1920s), soybean has boomed in the last ten years, as clearly reflected by harvest volumes and by investments made by processing facilities.
Where does Argentina import soybean oil?
Imports In 2022, Argentina imported $142M in Soybean Oil, becoming the 32nd largest importer of Soybean Oil in the world. At the same year, Soybean Oil was the 117th most imported product in Argentina. Argentina imports Soybean Oil primarily from: Paraguay ($142M), Bolivia ($178k), South Korea ($32k), Netherlands ($27.8k), and Germany ($9.28k).
Are Argentina’s giant soybean processing plants running out of soybeans?
BUENOS AIRES, Oct 5 (Reuters) – Argentina’s giant soybean processing plants are running out of soybeans after a historic drought cut the crop in half, the head of the country’s grains export chamber told Reuters, and this will leave well over two-thirds of factory capacity idle.
Will Argentina lose its position in the world’s largest exporter of soybeans?
As a result of the drought, Post estimates that Argentina will need to import a record 11 MMT of soybeans to achieve a crush of 29.5 MMT. This reduced crush would lead Argentina to export only 18.75 MMT of soybean meal, potentially losing its position as the world’s largest exporter of soybean meal. Soybean oil exports are estimated at 3.65 MMT.
Why is soybean cropping a key economic activity in Argentina?
Soybean cropping has become the key economic activity of Argentina’s farming sector. Argentina is the third world soy bean producer, after the USA and Brazil. Its market share is more than 20% by volume. The USA has recently increased the acreage allocated to corn crops for ethanol production to the detriment of soybean.