The economist added that “at the same time, the end of the soybean dollar generates a realignment of prices” since “many sold available for repurchase in the term, and now they are turning their positions around.”
The report says that “a Internationally, wheat is trapped by higher production and downward demand due to the macro situation, while in Argentina the dry weather reduces production and its prices skyrocket”
Romano indicated that “dry conditions are putting local wheat in check, where production threatens to not be enough for already authorized exports and domestic consumption.”
The estimates that the Government had at the beginning of the year was 22 million tons of wheat and now it would barely reach 16 million, according to private, and, on this, the former Minister of Agriculture, Julián Domínguez, had allowed a quota 8 million tons of exports.
However, the academic from the Austral University proposes an alternative as a solution.
“The difficulties to originate wheat may make it convenient for exporters to negotiate with the Government the annulment of the export permits taken,” warned the analyst of the grain markets.
On the other hand, the UCA report warns that “The dry season also delays the sowing of early corn, where a large step is expected to late and soybeans.”
Romano points out that, in the case of corn, the markets for future samples had an increase in prices for April 2023, while they weaken in July.
Regarding the soybean dollar, which ended last week, Romano described it as “successful” since more than US$8.1 billion were sold. “Although the BCRA only managed to capture half of them in reserves,” said the professor from the Faculty of Business Sciences, who added that “the negative side of this is that the producer was left with great liquidity, which he used to pay supplies and bills. outstanding, and to a lesser extent for the MEP dollar while it was able to do so”.
“But now you don’t need financing, so new sales could be elusive“, he added.
Source: Ambito
David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.
