Argentina Grains Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Market Size (2024) | USD 18.31 Billion |
| Market Size (2029) | USD 24.90 Billion |
| CAGR (2024 - 2029) | 6.30 % |
Argentina Grains Market Analysis
The Argentina Grains Market size is estimated at USD 18.31 billion in 2024, and is expected to reach USD 24.90 billion by 2029, at a CAGR of 6.30% during the forecast period (2024-2029).
- Grains and cereals are fundamental to the Argentine diet, with maize and soybeans serving as key components in daily nutrition and as major agricultural exports. These ingredients are used in the production of bread, pasta, and muesli, which are common in meals throughout the country. Grains also play a crucial role in animal feed, supporting livestock sectors including cattle, poultry, fish, and swine. The combined demand for grains in human consumption and animal feed is estimated to drive market growth in Argentina in the coming years.
- According to a report by AEGIC on Argentina's grain industry, the country will contribute 5% to global grain production in 2023. Argentina's share in the world trade of grains and by-products stands at 15%, with exports totaling 86 million metric tons of grain products. The area harvested for maize in the country has shown an upward trend. According to FAOSTAT, the area harvested for maize increased from 8.1 million hectares in 2021 to 8.7 million hectares in 2023, reaching a production of 60.3 million metric tons. The increase in wheat production will not solely be due to an increased area sown to wheat. Yield increases are likely as more farmers use increased inputs, adopt superior varieties and use improved technologies. As a result, the rising demand for grains in the country will likely drive the market during the forecast period.
- Bioethanol consumption is rising in the country, driven by strong gasoline demand in the agriculture sector for farm machinery operations. According to a USDA report, corn-based bioethanol is expected to account for 62% of the total in 2023. This growing demand for bioethanol is likely to boost the market in the coming years.
- The Pampas region has experienced significant agricultural technological transformation over the past three decades, characterized by the rapid adoption of new technologies. Key technological developments include improved seeds (particularly herbicide-resistant genetically modified soybeans), no-till farming practices, increased pesticide usage (primarily glyphosate), and crop rotation systems (alternating soybeans and cereals). The implementation of these advanced technologies across various regions of the country is estimated to drive market growth during the forecast period.
Argentina Grains Market Trends
High Export from the Country
Argentina stands as one of the world's key grain exporters, significantly contributing to global food security. Its vast territory of 2.8 million square kilometers encompasses exceptionally fertile lands, positioning Argentina as a leading food producer with robust agricultural and livestock sectors.
Maize, wheat, corn, and soybeans have proven highly profitable for Argentine farmers. The country ranks as the third-largest corn exporter and the sixth-largest wheat exporter globally. These commodities are crucial to Argentina's economy, serving as major export products and playing a vital role in the broader South American economic landscape.
Argentina's extensive arable land is a key factor in its substantial grain production, establishing the country as a major force in the global grains market. Maize stands out as a significant component of Argentina's agricultural exports. In 2023, Argentina exported 21.8 million metric tons of maize, according to the ITC Trade Map. Vietnam, Peru, Algeria, and Malaysia were among the primary importers of Argentine maize. This high export volume highlights Argentina's crucial role in meeting global cereal demand, driven by both food and feed requirements.
In 2023, Argentina's grain exports experienced a significant decline, falling by 44% to approximately USD 8.1 billion, according to FAO reports. This sharp drop was primarily attributed to a historic drought that severely impacted crop yields, disrupting the agricultural sector on a large scale. Farmers across major grain-producing regions faced lower-than-expected harvests, with staple commodities like maize, barley, wheat and soybeans particularly affected. However, Argentina is estimated to regain its global market share in the coming years. With more favorable weather conditions and strategic production initiatives, the country could experience a resurgence in its grain output.
Growing Demand for Food and Animal Feed
Argentina has experienced a significant increase in grain consumption, particularly wheat, barley, and corn, driven by growing demand in both the food and feed sectors. USDA data indicates that domestic wheat consumption reached approximately 6.7 million metric tons in 2023, while barley consumption was 1.65 million metric tons. These figures are estimated to increase as demand for grain-based products and animal feed continues to grow.
Corn plays a crucial role in Argentina's livestock industry, which consumed about 70% of the nation's total corn production in 2023, according to USDA. The expanding livestock sector has been a key factor in the rise of maize production, as corn is an essential feed component for cattle, poultry, and swine. FAOSTAT reports that maize production in Argentina increased from 58.3 million metric tons in 2020 to 60.3 million metric tons in 2023, meeting the needs of the growing livestock population.
Production of other crops such as wheat, soybean, and barley has also increased to meet the rising demand for both human and livestock consumption in the country. The growing global population, including Argentina's, is creating additional demand for consumption and trade opportunities. Consequently, the increasing demand for food and feed in Argentina is expected to drive the country's grain market during the forecast period.
Argentina Grains Market News
- July 2023: The government in Argentina announced a new temporary exchange rate program to boost exports of grains in July and August with barley, corn, sorghum, and rice all eligible for the favorable exchange rate. The government of Argentina adopted Decree 462/2023 exempting or reducing the export taxes for grains such as barley, corn, sorghum, and rice.
- October 2020: Bioceres Crop Solutions Corp. announced regulatory approval of drought-tolerant HB4 wheat in Argentina. Argentina’s Ministry of Agriculture has granted approval for the Company’s HB4 Wheat ‘event’ for growth and consumption in the country. This approval by the government helped to increase wheat production in the country in the year 2021.
Argentina Grains Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Increasing Demand for Biofuel
4.2.2 Technological Transformation in Agriculture
4.2.3 Rising Government Support
4.3 Market Restraints
4.3.1 Volatility in Grain Prices
4.3.2 Natural Disaster in the Country
4.4 Value Chain Analysis
5. MARKET SEGMENTATION
5.1 Crop Type
5.1.1 Cereals
5.1.1.1 Production Analysis
5.1.1.2 Consumption Analysis and Market Value
5.1.1.3 Import Market Analysis (Volume and Value)
5.1.1.4 Export Market Analysis (Volume and Value)
5.1.1.5 Price Trend Analysis
5.1.2 Pulses
5.1.2.1 Production Analysis
5.1.2.2 Consumption Analysis and Market Value
5.1.2.3 Import Market Analysis (Volume and Value)
5.1.2.4 Export Market Analysis (Volume and Value)
5.1.2.5 Price Trend Analysis
5.1.3 Oilseeds
5.1.3.1 Production Analysis
5.1.3.2 Consumption Analysis and Market Value
5.1.3.3 Import Market Analysis (Volume and Value)
5.1.3.4 Export Market Analysis (Volume and Value)
5.1.3.5 Price Trend Analysis
6. MARKET OPPORTUNITIES AND FUTURE TRENDS
Argentina Grains Industry Segmentation
A grain is a small, hard, dry fruit with or without an attached hull layer, harvested for human or animal consumption. The Argentina Grains Market is Segmented By Crop Type (Cereals, Pulses, and Oilseeds). The Report Covers the Extensive Study of Production (Volume), Consumption (Volume and Value), Import (Volume and Value), Export (Volume and Value), and Price trends. The report offers market size and forecasts in terms of value (USD) and Volume (Metric Tons) for all the above.
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Argentina Grains Market Research FAQs
How big is the Argentina Grains Market?
The Argentina Grains Market size is expected to reach USD 18.31 billion in 2024 and grow at a CAGR of 6.30% to reach USD 24.90 billion by 2029.
What is the current Argentina Grains Market size?
In 2024, the Argentina Grains Market size is expected to reach USD 18.31 billion.
What years does this Argentina Grains Market cover, and what was the market size in 2023?
In 2023, the Argentina Grains Market size was estimated at USD 17.16 billion. The report covers the Argentina Grains Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Argentina Grains Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Argentina Grains Industry Report
Statistics for the 2024 Argentina Grains market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Argentina Grains analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
Argentina Grains Market Report Snapshots
