The improvement is 32.3% compared to June, while the year-on-year growth in dollar inflows is 35.8%. During the whole of 2024, US$13,640,163,390 were received.
The Chamber of the Oil Industry of the Argentine Republic (CIARA) and the Cereal Exporters Center (CEC), entities that represent 48% of Argentine exports, announced today that during the month of July Companies in the sector settled the sum of US$ 2.616 billion dollars; involving an increase of 35.8% in relation to the same month of the year 2023, as well as a 32.3% improvement in relation to the month of June 2024.
If we compare the first seven months of this year with the previous year, the The increase is 5.2%. July was the best month of the year in terms of foreign currency earnings from agricultural exports, according to CIARA-CEC.
Despite this, the July balance for the Central Bank turned out to be a seller for US$181 million and the most negative for official foreign exchange intervention since October 2023 (-US$227 million). Throughout July, the gross stock of these assets fell by US$2,617 million or 9%.
What is the reason for the increased foreign exchange income from agriculture?
The foreign exchange income for the month of July is the result of the export dollar regime effective from December 2023, of international prices, from the impact of climate and pests on the pace of corn and soybean harvesting and the relationship between input and grain costs. Grain exports continue to work with high levels of idle capacity, as well as the oil industry, suffering permanent negative margins.
He Monthly income of foreign currency, transformed into pesos, is the mechanism that allows us to continue buying grains producers at the best possible price. The settlement of foreign currency is fundamentally related to the purchase of grains that will then be exported, either in their same state or as processed products, after an industrial transformation.
BCRA dollar reserves
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“Most of the income from foreign currency in this sector occurs well in advance of export, with a lead time of around 30 days in the case of grain exports and up to 90 days in the case of oils and protein flours. This lead time also depends on the time of the campaign and the grain in question, so there are no delays in the settlement of foreign currency,” the statement explained.
Agricultural dollars: the cereal-oilseed complex
The oilseed-cereal complex, including biodiesel and its derivatives, In 2023, it accounted for 50.1% of Argentina’s total exports, according to INDEC data.
The main product of The country’s export is soybean meal (12% of the total), whichIt is an industrialized by-product generated by this agro-industrial complex, which currently has a high idle capacity of close to 70%.The second most exported product last year, according to INDEC, was corn (11%) and the third was soybean oil (6.9%).
Source: Ambito
