Argentine agchem and fertilizers exports increased by 10% in 2013

Argentine agrochemicals and fertilizers exports increased by 10.1% to $643.5 million in 2013 and imports in the sector reached the $2,255 million, which is expected to expand by 5% in value and 2.1% in quantity. The growth in both cases was due to "the recovery in the domestic demand in the agricultural sector and the flexibility of the restrictions", according to the report of the ‘Sector for Economic Research’ (IES).

The report also noted that "the apparent consumption of nitrogen fertilizers in 2013 registered an increase of 7.5% compared to 2012, which would show the impact of the agricultural production increase in the 2013-2014 campaign".

"That demand increase was satisfied mainly by the imports, since production shrank in 2013 by 4.8%, partly due to the lack of gas and also due to the progressive saturation of the productive capacity of Profertil, which would have led to the announcement of its investment plan”, it was said.

Foreign trade of agro-chemicals and fertilizers showed accumulated increasing behavior by December 2013 which measured in values, with an increase of exports and a slightly less increase of imports, whilst regarding quantity, a decrease of the exports was detected and a slight increase in the imports, according to the technicians.

Exports of agro-chemicals and fertilizers were increased by 10.1% compared to 2012, and went from $ 584.4 million to $ 643.5 million, which kept the positive trend observed in the total of 2012 which was 15.2%.That increase was focused on the strong expansion of prices (54.4%), which compensated the decrease of 28.7% in the quantities exported.

Among the relevant products, the rise in the exported values was due to glyphosate based herbicide products, which went up by 52.4% and reached $280.3 million.

These were accompanied also by a high growth of exports of other rodenticides, for $ 161 million and an increase of 11.6 %, in fungicides (51.7%) and in less importance disinfectants, with 16.7%, compensated by a 48.2% drop of nitrogenous fertilizers, with only $ 81.6 million.

The destinations of the exports of agro-chemicals and fertilizers in 2013 were mainly to the regional market, especially in five countries: Brazil, with 40.4%, is the first destination after being displaced by far to Uruguay, which kept second place (16.1%), while Paraguay took third place, with 14 percent, moving Chile to fourth place, with 10.9%.

A very short distance, between major destinations, ranked Bolivia, with 10.3%. These countries grouped 91.7% of the total, without significant changes compared to 2012, except for the displacement of Chile by Paraguay.

Besides these countries, the rest has little significance, no more than 1.8%, regarding Australia and then with less percentage Mexico, Colombia, Venezuela and Peru. Apart of the above mentioned countries, another 42 countries represent only 2.8%.