Argentina’s soybean sales are the slowest since 2015

31.10.2017

Data from the Rosario Board of Trade reveal that the soybean sales in Argentina are the slowest since 2015, when the country was still governed by the Kirchner administration.  On the other hand, grains from the coming season have more volume and the largest commercialization of the last six years. For the coming crop, 4.9 million metric tons were already sold.

The explanation from the tax reduction. The current of soybean exports are at 30%. For 2018, the sales of the grain will a rate reduction of 0.5 percentage points per month. For the end of the next year, the rate would be 24%, which generates a larget difference for the future.

In Rosario, the value of the oilseed dropped 2% to US$ 252 per ton. The contracts for May 2018 are quoted at US$ 265 per ton. The difference between both contracts widened to 5%. For the Futuros Y Opciones analyst Dante Romano this trend would continue.

“In this context, farmers will retain more grain once the producer sees a prize increasing slowly, leaving the grain in the silo bags”, stated the analyst.

The level of soybeans processed are also the lowest since 2015. Yet according to the Rosario Board of Trade, the volume of final stocks in Argentina would reach a record of 16 million metric tons. Therefore, the historic volume to be sold next year would be 70 million metric tons. A large of the contracts to be delivered next year do have a price set.


agrosouth-news

Readers choice: TOP-5 articles of the month by UkrAgroConsult