In 2024, under President Javier Milei, Argentina plans to modernize its seed technology rules as part of broader economic reforms.
The goal is to make Argentina’s agriculture more competitive, especially against Brazil and the U.S.
A law from the 1970s protects farmers from paying annual fees to seed companies. As a result, Argentina’s agriculture has not kept pace with advancements.
This is evident as Brazil continues to report record harvests annually.
The outdated rules have impacted Argentina’s soybean productivity. According to the Rosario Board of Trade, it lags behind Brazil and the U.S. by about 17%.
Introducing modern seed technologies could be a turning point. Seed companies like Syngenta, Corteva, and Bayer might start charging royalties.
This move can bring investments and access to advanced genetically modified seeds. Consequently, Argentina’s agricultural yield could improve significantly.
However, there are challenges. The new policy could face resistance in Congress, where Milei’s party is a minority. Also, farmers’ reactions to potential royalty fees are uncertain.
Past governments attempted to charge for seeds but failed. For instance, Monsanto, now part of Bayer, tried to collect royalties on its “Intacta” soybean seeds.
Despite these efforts, Bayer withdrew from Argentina’s soybean seed market in 2021. They cited global strategy changes and a focus on more profitable projects.
In summary, Argentina’s move to update seed technology laws aims to boost its agricultural sector.
By doing so, Argentina hopes to compete effectively with global agricultural leaders.
Yet, the success of this initiative hinges on legislative support and farmers’ adaptability to new economic models in agriculture.