Argentina: Wheat exports reach record high in first quarter

RIO DE JANEIRO, BRAZIL – Six months after Argentina’s 2021/22 wheat campaign, tons exported in the first half of the year exceeded 12.7 million tons, an all-time high for the same period compared to previous years, according to the Rosario Stock Exchange (BCR).

Except for the 2016/17 season when 12.7 million tons of grain were exported, the volume exported between December and May of the current commercial cycle is higher than what was exported in the entire full season considering previous years.

In addition, international prices have made the value exported in the first half of the year for wheat grain exceed US$3.74 billion, also a record for the same period.

The difference with the previous record of 2007/08 is almost double since at that time exports amounted to US$2.08 billion.

Although Brazil remains the main destination of Argentine wheat shipments (it received 2.6 million tons), there has been substantial growth in Africa’s share of wheat shipments.

According to the shipping agency NABSA SA, in the first six months of the 2021/22 commercial cycle, about 5.9 million tons were shipped to African coasts, almost triple the amount exported in the first half of the previous year.

Usually, due to geographical proximity, African countries receive wheat from Russia or Ukraine, especially the countries of the sub-Saharan North.

However, the war conflict between both nations and the higher Argentine production in the current season has led several of these countries to opt for Argentine grain.

Finally, the increase in shipments to Asia is also noteworthy. More than 2.3 million tons were exported to that continent between December and May, more than double the 1.1 million tons of the previous period.