Argentina’s 2024/25 wheat campaign ended on a high note, delivering strong production, improved yields, and significant contributions to the economy. According to the Buenos Aires Grain Exchange, total production reached 18.6 million tonnes, representing a 23% increase over the 2023/24 season. This growth was fueled by favorable weather during planting and improved agronomic practices.
Key factors contributing to this record performance include a 7% expansion in planted area, which rose to 6.3 million hectares, and a recovery in yields to 30.4 quintals per hectare—7% above the previous season. While regions like the northern core and southwestern Buenos Aires outperformed expectations, challenges in southeastern Buenos Aires, where high temperatures affected crop development, served as a reminder of the variability of farming conditions.
Economic Contributions and Export Performance
The wheat sector’s impact extends far beyond the fields. In 2024/25, exports are expected to generate $2.9 billion, a 49% increase over the previous season. This reinforces the competitiveness of Argentine wheat on international markets, where it is prized for its quality. Additionally, the sector’s fiscal contribution reached $926 million, providing much-needed foreign exchange and government revenue.
However, lingering export duties of 9.5%, recently reduced from 12%, continue to cut into producers’ profitability. Despite this, the sector’s overall economic contribution is expected to grow by 26%, highlighting the resilience of Argentine agriculture.
As of January 2025, 45% of the harvest has been sold, leaving over 10 million tonnes in producers’ hands. While this is a typical ratio for the time of year, questions remain about whether farmers will sell their wheat under current conditions or hold out for more favorable prices. This uncertainty, coupled with existing economic pressures, is likely to shape market dynamics in the months ahead.
Lessons from 2024/25: A Path Forward
The success of this year’s wheat campaign was driven by a combination of favorable autumn rains, strong international pricing, and the adoption of advanced farming technologies. However, challenges such as price distortions and export duties continue to hinder the sector’s competitiveness. Reducing bureaucracy, streamlining export processes, and providing consistent support for producers are essential to sustain growth and solidify Argentina’s position as a global wheat exporter.
Argentina’s 2024/25 wheat harvest has demonstrated the potential of the country’s agricultural sector to achieve both productivity and economic impact. By addressing persistent structural challenges, the industry can ensure that its farmers reap the full benefits of their efforts and investments, while continuing to contribute significantly to the nation’s economy.
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