Foreign media, April 27 news: Argentina’s Ministry of Agriculture released a report showing that the pace of soybean sales of Argentine farmers continued to lag the same period last year.
As of April 20, Argentine farmers had pre-sold 13.58 million tonnes of 2021/22 soybeans, up 628,000 tonnes from a week earlier but down from 15.53 million tonnes a year earlier.
The Buenos Aires Grain Exchange forecasts Argentina’s soybean production to reach 42 million tonnes in 2021/22.
Despite high international prices, Argentine farmers remain reluctant to sell soybeans as a hard currency against a weaker peso. Because Argentine farmers sell soybeans for peso income, the depreciation of the peso means it is more cost-effective to hold soybeans than to hold the peso.
In addition, Argentine farmers have sold 40.68 million tons of 2020/21 soybeans, up 58,000 tons from a week earlier, but down from 42.36 million tons a year earlier.
Argentina’s 2020/21 soybean production, which was harvested last June, was 43.1 million tons, down from 49 million tons in 2019/20.