Argentina Raises Export Taxes on Soy and Corn, Farmers Hurry to Sell Before Deadline

Argentina’s government has officially decided to raise export taxes on soybeans and corn starting July 1, 2025. The tax on soybeans will go up from 26% to 33%.

Corn and sorghum will be taxed at 12% instead of the previous 9.5%. Sunflower exports will also see a small increase, while taxes on wheat and barley will stay at 9.5%.

This move comes after a short period when the government had lowered these taxes to help farmers recover from low crop prices and bad weather.

The temporary tax cut, which started in January 2025, helped boost sales and production.

Now, the government says it needs to bring the taxes back up to collect more money for the country and to meet its agreements with the International Monetary Fund.

Argentina depends on export taxes for a big part of its income. In 2024, these taxes brought in $5.3 billion, with soybeans making up most of that amount.

The government says it needs the extra money to help the country’s economy and to build up its reserves of foreign currency.

Farmers and exporters reacted quickly to the news. In the first 18 days of June, soybean sales doubled compared to last year, reaching 4.71 million tonnes.

Argentina Raises Export Taxes on Soy and Corn, Farmers Hurry to Sell Before Deadline

Exporters rushed to sell before the higher taxes started. This rush brought in almost $4 billion in foreign sales by late June, much more than usual for this time of year.

Experts warn that the higher taxes will mean farmers earn less for their crops—about $30 less per ton for soybeans.

With prices already low, this will make it harder for many farmers to make a profit. Many in the farming industry expect sales to slow down once the new taxes are in place.

Argentina is one of the world’s biggest suppliers of soybeans, soybean oil, and corn. Changes in its export taxes can affect food prices and supply in other countries.

Earlier tax cuts made Argentine crops cheaper and more competitive, but the new increases could slow exports and affect global markets.

The main story is about Argentina’s government trying to fix its finances by raising taxes, while farmers feel squeezed by the higher costs.

The government needs the money, but the new taxes make it harder for farmers to earn a living.