Argentina Cuts Wheat Export Tax to 5.5%, Pressuring U.S. Export Competition
Updated
Updated · agrolatam.com · May 22
Argentina Cuts Wheat Export Tax to 5.5%, Pressuring U.S. Export Competition
3 articles · Updated · agrolatam.com · May 22
Summary
Argentina lowered its wheat export tax to 5.5% from 7.5%, a cut expected to save exporters about $5 to $5.60 per metric ton and sharpen its pricing in world markets.
That shift weighed on wheat futures Friday even as corn and soybeans edged higher before the Memorial Day break; Kansas City HRW July wheat fell 5 cents to $6.82 a bushel.
U.S. wheat exporters could face tougher competition in North Africa, Asia and Latin America, where cheaper Argentine supplies may gain share.
Elsewhere in grains, USDA reported 23.7 million bushels of private corn export sales and a 252,000-metric-ton soybean meal sale, while Argentina raised its 2025-26 soybean crop outlook 3.1% to 1.841 billion bushels.
The tax cut, first flagged earlier Friday for June implementation, highlights how Argentina is leaning on farm exports despite the hit to government revenue.