Argentina's 2023 soybean crush lowest level in 19 years: BCR

Argentina's soybean crush fell 29% in 2023 to 27 million mt, the lowest level since 2004, according to a report by the Rosario Grains Exchange (BCR).

In 2022, the country's crush volumes totaled 38 million mt.

With Argentina’s soybean production 56% lower year on year, the local vegoil industry suffered a severe blow, but imported soybeans limited losses, BCR said.
 
In 2023, more than 36% of crushing in Argentina was made with soybeans imported through the temporary import regime, a new record.
 
Under this regime, soybeans are imported for industrial processing and later products with a higher added value (oil, meal, biodiesel, glycerin, among others) are exported.
 
“Soybean imports made it possible to reduce the idle capacity of the vegoil industry while helping to sustain the level of employment and support national exports,” BCR said.
 
The idle capacity of 54% recorded last year was the highest in the history of Argentina's vegoil industry, but the figure would have jumped to around 70% without imports, BCR said.
 
Brazil increased its share in Argentina’s soybean imports from 9% in 2022 to 39% in 2023.
 
Soybeans imported from Paraguay, Argentina’s most frequent supplier, were also at record levels, according to the exchange.