Argentina’s GDP dropped by 4.9%
Drought caused a 40.2% drop in the agricultural sector contribution in Argentina, the largest in 14 years. The country’s GDP dropped by 4.9%, and 90% of the drop is due to the collapse of agricultural GDP. (INDEC)
Government of Santa Fe province extends until March 31, 2024, the declaration of the State of Emergency and/or Agricultural Disaster due to the continuation of the drought. Farmers will be able to declare agricultural calamity until October 2, 2023. (Santa Fe Provincia)
Dairy farmers received an average of US$ 0.30 per liter in August, an increase of 120% compared to the same period of the previous year and 4.1% compared to July 2023. However, the ideal price to compensate for losses due to drought and the increase in costs was expected to be approximately US$ 0.40. (Siglea)
The impact of inflation is resulting in a decrease in beef consumption in Argentina. According to Miguel Schiariti, president of the Chamber of Industry and Commerce of Meat and Meat Products, in 2022 the consumption rose to 52 kg per capita, and this year it will fall again to around 46 kg, similar to 2019 and 2020. (CICCRA)
According to Johnny Delgadillo, general coordinator of the Empower Program, approximately 128 thousand families will receive the benefit from the investment of US$ 300 million in productive, community and infrastructure projects to improve food production and ensure food security (Empower Program)
Pedro Lupion, congressman and president of the Agricultural Parliamentary Front, rejects the bill that determines the collection of export taxes on soybeans, corn, rice, beef, pork and chicken when there is any risk to internal supply. (CAPADR)
Damages caused by the flood in Vale do Taquari, state of Rio Grande do Sul, exceed US$203 million, according to Emater. The most affected were dairy farmers, with losses of around 500 thousand liters of milk and 10 thousand hectares of pasture. (Gadolando)
Brazil has difficulties in diversifying exports. The country accounts for 8.4% of global agribusiness exports with just soy, corn, meat, cellulose, cotton, coffee, tobacco and orange juice. The fruit, dairy, fish and processed food segments, for example, totaled more than US$ 700 billion in trade in 2022, and Brazil has little or no relevance in these segments. (Insper Agro Global)
State of São Paulo has an agribusiness surplus of US$ 14.4 billion until August 2023. The State also reached US$ 17.84 billion in exports, with increases in the exported values of product groups such as sugar and alcohol (25.9%), juice (16.4%) and forestry (1.0%). Some groups also showed declines, such as meat (-25.8%), coffee (-10.0%) and soy (-3.6%). (IEA-APTA/Secretary of Agriculture)
Embrapa, USDA and the University of Florida meet to discuss research partnerships aimed at the sustainability of agriculture in both countries. Some examples of strategies addressed are related to adaptation to climate change, mitigation of greenhouse gas emissions in livestock farming, and reduction of agricultural dependence on fertilizers. (EMBRAPA)
Mexico’s agri-food trade balance recorded a surplus of approximately US$ 5.8 billion by July 2023, driven by exports. The value is equivalent to an increase of 13% compared to the same period of the previous year. (Secretary of Agriculture).
Paraguay intends to start pork exports to Chile and it is preparing to meet the sanitary, technical and production conditions required by the Chilean market. According to Jorge Ramírez, president of the Paraguayan Association of Pig Producers, one of the challenges will be compartmentalization, a technique not yet used in the country. (APPC)
Julio Velarde, president of Central Reserve Bank of Peru, says that the agricultural sector will face the worst scenario in the past 26 years due to damage caused to crops as a result of climate events. “What we are seeing is the higher temperature is causing [crop] yields to be lower. It is certainly a very bad year for agriculture. The worst in the past 26 years and it could be even worse”. (Budget Committee of the Congress of the Republic)
Low yields of summer crops due to drought result in a 27.4% drop in the agricultural sector compared to the same period of the previous year. (BCU)
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