Argentina is moving closer to securing its first major wheat shipments to China since the 1990s, according to Gustavo Idigoras, president of Ciara-Cec, the country's leading crop-exporting group.
China is making overtures for wheat purchases after it authorized Argentine shipments earlier this year, Idigoras noted. China also recently authorized purchases of Argentine corn, though no shipments of corn have been made so far.
Bloomberg has linked Argentina's wheat push to potential tariff threats under Trump-era trade policies, which could spark a trade war and lead to "retaliatory measures", thus boosting the demand for Argentine wheat.
"Brazil took advantage of Trump's first trade war, boosting its endeavor to be an agricultural force," Idigoras said in an interview," Idigoras said. "We need to know what a second trade war would look like to see who could seize the opportunity this time around."
China is Argentina's second-largest trade partner after Brazil and its biggest source of imports. Earlier this year, the Ministry of Agriculture, Livestock and Fisheries of Argentina announced that wheat exports to China had been approved by China's General Administration of Customs. China, the world's third-largest wheat importer, brings in approximately 10 million tons annually, valued at US$3.8 billion in 2022. Meanwhile, Argentina remains a major wheat exporter, with Brazil currently serving as its primary market.
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