Argentina will increase the tax on soy exports from 30% to 33%. The move had been expected since the end of last week, when the government temporarily halted authorization for soybean shipments from the country. The idea was to prevent traders from rushing to the market to try to advance sales with the old tax. According to the newspaper Clarín, Argentine Agriculture Minister Luis Basterra offered a compensation scheme for the 42,000 producers to reduce discontent in the field. Many producers intend to hold an agricultural strike next week, according to industry associations. Market analyst Vlamir Brandalizze believes that with this, Brazil may be able to export more. This is because there is already a movement in the neighboring country to not sell the product in the first half. “The Chicago Stock Exchange already feels this as a factor in reducing supply,” he explains. The expert says that just as in Rio Grande do Sul, Argentina is experiencing problems with drought, so the expectation is that production will be lower. “In this condition, a market opens up in which Brazil can export more. Today [Wednesday], Brazil has done a lot of business and this is already a reflection of the absence of Argentines as salesmen ”, he says. In addition to the prospect of Brazilian exports improving, prices in Chicago may rise. Brandalizze Consulting says that there is an expectation of a deficit of more than 10 million tons of soybeans, that is, the world harvest will be less than consumption.
Source: Canal Rural