They warn that the future of local products abroad depends on the uncertainty of the buyer countries

Photo Natalia Motyl
Natalia Motyl

Bachelor of Economics (UBA). Economic Analyst of Libertad y Progreso.

GRUPO PROVINCIA – NA – The future of Argentine products abroad will depend on the situation that the purchasing countries are going through and the uncertainty of the moment, although there is a reopening of markets, as happened with the Argentine prawns that will now also go to Brazil The economist Natalia Motyl, specialized in foreign trade from the Fundación Libertad y Progreso, evaluated before NA that “in order to analyze the opportunities our products have in the foreign market, it is necessary to understand that said evolution will depend on what happens in the main countries of the world”. “They are going through, like the previous year, a time of great uncertainty in relation to the pandemic,” she said.

The main international organizations estimate that the main risk in the future is the difference between the speed of recovery that advanced economies are presenting and some emerging markets, she said.

“Therefore, if the main economies that buy our products such as China, Brazil or the United States suffer a recession this year, the event will negatively impact our commercial accounts,” she added Motyl. Another point to take into account, which in part has to do with the volatility of the prices of the basic products that Argentina sells to the rest of the world.

Both corn, wheat and soybean prices are seeing sharp increases in Chicago, hitting an all-time high since 2014

“This tailwind is favoring the recovery of our country and opens the doors to developing a diversified productive structure that spreads the benefits of the agro-export sectors,” she said.

She explained that one of the items that are experiencing strong growth in foreign sales are manufactures of agricultural origin and primary products.

Therefore, everything that is related to the sector will benefit, if prices continue to rise

What is happening with the main commodity prices? Soybeans closed February with the ninth consecutive monthly gain and corn and wheat are added

However, in the last wheels of March they are registering casualties

With respect to corn, the absence of activity abroad plus the strengthening of the dollar explain the low prices

“For its part, soybeans, due to the lack of novelty in the export market by China, after the New Year celebrations, also negatively affect their prices. Therefore, we cannot think that high prices will remain stable for long,” she said.

For the specialist in foreign trade, one of the sectors that is having great potential are the knowledge-based sectors that could have a great future

In Argentina the software industry, fundamentally, has been experiencing exponential growth in the last period.

“We will have to be vigilant if the State, via a tax reduction, is able to favor the activity of the sector,” she considered. For his part, Pablo Dragún, director of the Center for Economic Studies of the Argentine Industrial Union (UIA) also spoke with NA and insisted that Argentina exports all over the world and has the potential to export more, in fact a record was reached in 2011 nearly $ 29 billion

“Manufactured manufactures of industrial origin were sold that later fell a lot and that is a terrain that should be recovered.

It fell due to a problem of competitiveness, financing and other issues,” she said.

While he pointed out that the pharmaceutical industry is also exported, as well as plastics, chemicals, wood and furniture, elements of the textile sector and that in the external sale of seamless tubes, Argentina is very advanced and the metalworking chain is also moving

“In Brazil the number fluctuates, but there the Argentine automotive sector is very important. In general, a lot is exported to the region, but there are niches there. Argentina exports all over the world and has the potential to export more”, stated the economist

She expressed that there are sectors in which “we have productive potential, on the supply side and it is necessary for companies to be able to export with financing, now after they can enter the countries with their products, it is complex due to tariff and non-cancerous barriers. It is difficult because of the fight for added value in the world “

The State, in his opinion, should give the exporter conditions so that he can sell abroad. “It is difficult to maintain exports over time due to the macroeconomic conditions that Argentina has,” said the UIA economist.

While in terms of agricultural manufacturing, Argentina is the world’s leading exporter of soybean oil and flour, yerba and beans; the second for peanuts and the third for corn, soybeans, sunflower and pears. The Argentine economy is located in the second place of development in Latin America, after the Brazilian economy

Other products that leave the country are beer, tobacco, yerba mate and tequila

Also, a wide range of fruits such as apples, peaches, plums, garlic, onion, chia, amaranth, quinoa, honey, sugar, peanuts, aromatic teas, tomatoes, among others. Likewise, Argentina is recognized for its vineyards, which places it in fifth place worldwide. Another product that Argentina exports is biodiesel, being the main producer in America using its resource produced par excellence, which is soybean oil. MAF / GM / GAM NA