Exclusive: Argentina Set to Begin Corn Exports to China in July

By Maximilian Heath

BUENOS AIRES (Reuters) – Argentina is set to begin its long-anticipated corn shipments to China starting in July, according to the country’s grain export chamber. This development would represent a significant boost for Argentina, the world’s third-largest corn supplier.

Gustavo Idigoras, head of the CIARA-CEC chamber, confirmed that "all the conditions are in place to move forward with shipments to China starting in July." This marks the first confirmation that plans are proceeding as intended.

Previously, Argentina’s government indicated that it aimed to begin corn exports to China by July, contingent upon completing certain administrative procedures to obtain import licenses.

Idigoras noted, "The Chinese market is experiencing growth, importing 20 million tons annually. Brazil currently ranks as the top supplier. Argentina is well-positioned to become a strong and reliable provider of corn for animal feed."

An initial agreement to facilitate the export of Argentine corn to China was reached last year. However, official data reveals that no shipments have been made to Chinese ports since the agreement was signed due to unresolved issues.

Over a decade ago, attempts were made to expand the trade of Argentine corn—most of which is genetically modified. Limited shipments were allowed into China in 2012 as part of a test, but concerns regarding GMOs stalled progress.

Now, it appears that these obstacles have begun to diminish.

Earlier in the day, the Argentine government announced that China had granted authorization for the import of two herbicide-tolerant GMO corn varieties cultivated in Argentina, thereby facilitating exports and assisting Chinese importers in obtaining the necessary permits.

Argentine farmers are currently in the early stages of harvesting corn for the 2023/24 season, with production estimated at 47.5 million tons, according to the Rosario grains exchange.