The Argentine Foreign Ministry announced that the Chinese company Sinograin expressed its interest in deepening the agreement that was signed in 2018 with Argentina.
From that, the Asian giant would increase the purchase volume of beans and soybean oil by 25%. Currently, the Chinese company Sinograin is in charge of the administration and operation of the grain and oil reserve in that country.
According to the Ministry of Foreign Affairs in a statement, “the Chinese company will expand purchases of soybeans from 3 to 4 million tons and those of soybean oil from 300,000 to 400,000 tons in 2021, which implies an increase of 1 million tons in the volume of purchase of soybeans, and maintains the purchase intention with regard to soybean oil, compared to the commitment for 2019 ”.
In addition, the purchases would mean for Argentina an income of between 1,500 and 2,000 million dollars, registering an increase of 500 million dollars compared to last year, taking the current price level for soybeans as an average basis. .
“Argentina came to export for 85 billion dollars and in 2019 it barely reached 65 billion. It is necessary to recover those 20 billion difference, because by increasing exports it will allow our country not to have the classic problem of narrowing the balance of payments that culminates in indebtedness, “said Foreign Minister Felipe Solá in a statement.