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Montevideo, January 21st 2018 - 18:14 UTC

Argentina trade surplus up 26.9% in June as grains and oilseed exports get moving

Wednesday, July 24th 2013 - 07:12 UTC
Full article 75 comments
The country’s agriculture is recovering from last year’s drought The country’s agriculture is recovering from last year’s drought

Argentina's June trade surplus grew by 26.9% to 1.16 billion dollars from 910 million in the same month last year, but the six month period was down 26%, the government's national statistics institute Indec said on Tuesday.

Exports grew by 8% from a year earlier, to 7.55bn, reflecting a stronger grains harvest after last year's drought. Imports grew a more modest 5% to 6.4bn, according to Indec. However in the first half of the year balance, imports were up 11% and exports 5%.

A widening trade surplus is good news for the government, which needs to boost dollar supplies on the tightly controlled currency market. Raw material exports rose 20% in June as the corn and soybean harvests advanced.

Argentina's trade surplus was 4.95bn in the first half of the year, down 26% from the same period a year earlier.

Mercosur was the main trade partner in June with 26% of exports and imports. Sales to the block reached 1.95bn dollars and 11.5bn in the first half of the year while imports were 1.7bn and 9.96bn dollars.

However in the same period Argentina deficits with the European Union reached 1.9bn; NAFTA (US, Mexico and Canada) 1.4bn and with China, Japan and India, 266 million dollars.

In the first six months of the year fuel and lubricants represented 17% of total imports.

The Argentine economy cooled abruptly in 2012 and earlier this year because of high inflation and the negative impact of currency controls on investment.

But the economy has shown signs of improving more recently, thanks to a push in public spending ahead of October's mid-term election, an increase in auto production and rising corn and soy output and overseas sales.

Economic activity jumped 7.8% in May from a year earlier, President Cristina Fernandez said last week.

The Cristina Fernandez's administration repays debts to private creditors using the central bank's foreign currency reserves. The country has been effectively shut out of global credit markets since its massive sovereign default in 2002 and continues to fight litigants in New York courts.

 

Categories: Agriculture, Economy, Argentina.

Top Comments

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  • Captain Poppy

    RG's.....can you say fief? An agrarian economy in the making. Stand in line A and Kim So Lo will hand you your black pajama's.......line B for your unique haircut.

    Jul 24th, 2013 - 09:28 am 0
  • Vestige

    And time moves on, more new citizens are born, the people buy and learn and work, the economy grows and diversifies and modernizes. The land readily offers up its resources. The debt stagnates and gradually shrinks and rusts with time. Another page in history.
    Which will die off first.

    Jul 24th, 2013 - 11:20 am 0
  • Optimus_Princeps

    I guess the trade surplus wasn't enough to pay for our electricity last night. The mad cow pulled the plug on our electricity for four hours on one of the coldest nights.

    My concern is for those who need electricity to care for their sick. Even her vile creatures were too cold to go out on their nightly raids.

    Jul 24th, 2013 - 11:35 am 0
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