2025 Outlook Last year was extremely challenging for Argentine agriculture, with sharp declines in commodity prices exacerbating the situation in recent months. The exchange rate has shifted from approximately 800 ARS/USD to 1,030 ARS/USD, while high dollar inflation has significantly increased dollar-denominated costs. As a result, farmers, input suppliers, and others dealing in dollarized products have faced sharp reductions in margins. Farmers, in particular, are grappling with a static exchange rate, falling grain prices, and rising costs - a combination that severely impacts production margins.A study by the Rosario Board of Trade shows that the purchasing power of soybeans and wheat is at its lowest since 2017, while corn has rea...
From WPI Consulting
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.