Following Argentina's two-year worst drought in a century with agriculture production and exports plummeting, causing a shortfall of at least US$ 20 billion in foreign currency revenue, the country's industry is expecting an excellent harvest in 2024/25. The latest estimate from the Rosario Board of Trade indicates that the grain harvest could yield 131.1 million tons, a sharp rise from the 82.
2 million tons from the previous year. And even when Argentine farmers largely gave their votes to ultra liberal President Javier Milei in the November election, they now want him to deliver on promises to slash taxes and ease exchange rate controls. In the meantime the bumper harvest remains put.
“Silos are full, and we sell just enough to cover expenses,” farmers admit sitting on the success of harvested corn and wheat fields. Those who can wait before selling, are doing so.” However farmers also complain that lower global prices for cereals and oil seeds and the delay in freeing up the exchange rate, and eliminating export tax tariffs, at which producers can sell their goods abroad, have complicated the good news.
Agriculture is a major part of Argentina’s economy, accounting for 55% of the country’s exports. It is among the world’s largest food producers, ranking third in soybeans behind only Brazil and the United States. Similarly it is a leading exporter of corn and sunflower.
Argentina usually sells about 70% of its agro-industrial production, while the rest goes .
