To begin, you should know something about Argentina. See map to the left if you're wondering when in the world Argentina is located.
A lot of useful information was given while at the US Embassy and by listening to representatives from Cargill Argentina's headquarters. Information is listed below:
- Argentina has experience a 40% inflation over the past year; the US dollar is about 10 pesos
- there are US Embassy's in 150 countries
- Embassy's work with the government to increase ties and help traveling citizens
- the Argentine government limits the amount of exports and a certificate is needed
- 50% of the farm land is rented, making it hard to be sustainable
- the soil in the western part has more clay while the eastern part has more sand. Soil in Northern Argentina is red.
Most important things expanded on:
- Argentina produces about 14-15 million tons of corn, but the government only allows 8 million to be exported. This negatively effects the corn market and farmers are resorting to storing corn using bins and large bags on their farms instead of selling it.
- 50% of the land is rented, but prices are not steady so the renters main focus is to make the most money for one year. The soybean has a very strong market, so crop rotation is limited which depletes the soil.
- We were told that "the farmer helps the government, but the government does't help the farmer." With a 32% export tax on any soybeans that are exported, the government limits their large profits by only allowing a certain amount of soybeans to be exported, which also hurts farmers.
- Agriculture is growing, with crops increasing 7% per year while the population of Argentina is increasing 1%.
Since this trip consisted of agriculture in Argentina, have no fear that more facts and information is coming in the upcoming blogs!