May 20, 2022
Argentina may raise export limits for corn to 35 million tonnes
A source from Argentina's Ministry of Agriculture said the country may raise its corn export limits for the 2021/22 harvest to 35 million tonnes from the current 30 million tonnes, Reuters reported.
Argentina, the second biggest corn exporter in the world, restricted exports for the current cycle to 25 million tonnes in December 2021 from a cap of 41.6 million tonnes previously, in its efforts to battle inflation. The current 30 million tonnes cap was set earlier this month.
The source that told Reuters said they are waiting for late corn to be threshed, with projections of 35 million tonnes of the grains permitted for export.
Argentina is coping with rising local food inflation as world commodity prices have soared because of the conflict in Ukraine. Argentina is also the biggest processed soy exporter and a major player in wheat and beef.
According to government data, the country's maize harvest in 2021/22 is predicted to be 57 million tonnes, including grains that will not be sold. The harvest has reached 44% completion. Corn production for commercial usage is expected to reach 49 million tonnes, according to the Buenos Aires grains market.
Data from Argentina's Ministry of Agriculture showed exporters have filed sworn statements for 27 million tonnes of grain sales in 2021/22.
National statistics office INDEC said Argentina exported roughly 40 million tonnes of corn last year, according to the with 1.5 million tonnes going to Vietnam, 1.2 million tonnes to South Korea, and 697,000 tonnes to Egypt.
The source from the ministry said 8.5 million tonnes of 2022/23 wheat had been registered for export of the 10 million tonne cap, a number that might be adjusted as the season progressed.