News

Argentina raises export taxes

Argentina’s new government has raised export taxes on several agricultural commodities to raise revenue and help lessen national debt. The new tariff on soybeans and soybean products is 30%, while exports on corn, wheat, and sorghum are taxed at 12%, and beef exports will now be subject to a 9% duty. The move is expected to further limit producers’ profit potential, when many are already also being hit by high financing charges, dry weather in some key growing areas, and inflation, and Argentina’s farmers are also reportedly upset the new taxes came via decree, instead of negotiations with the new administration. Argentina’s grain export registry will be closed while the new policies are put in place.

Argentina is the world’s top exporter of soybean products and third biggest seller of corn and soybeans. The new taxes are expected to help U.S. commodities be more competitive on the export market.