- Large corn imports market with 4.1 MMT imported in 2018.
- Barley imports fluctuate depending on local production with 600 TMT of barley were imported in 2018.
- No imports of corn co-products./li>
- Corn quality a concern but buyers are also very price sensitive.
- Population / growth: 40.6 million / 1.7%
- Urban % / growth: 73.9% / 2.17%
- GDP / growth (PPP): $170 billion / 0.7%
- GDP per capita (PPP): $13,914
- State-dominated economy with restrictions on imports and foreign investment.
- Oil and gas account for roughly 30% of GDP, 60% of budget revenues, and nearly 95% of export earnings.
- The unemployment rate increased by 1.2% in 2018, due to sluggish non- hydrocarbon growth.
- Fragile political and security situations.
Trade and Market Share Issues
- Argentina and Brazil combined corn market share is 92%. The U.S. comes with only 1% market share (47 TMT of U.S. corn imports in 2018).
- The E.U. and the Black Sea are the main barley suppliers.
- Majority of imported corn is used for on-farm feed mixing.
- More commercial feed millers are emerging, and they are less willing to pay premium for Argentine corn.
- Imported corn is subject to 5 percent import duty and 0% VAT.
- Imported corn co-products are subject to 30 percent import duty, discouraging use of DDGS despite successful trials conducted in recent
- VAT on all ingredients has been removed except for soybean meal which is 19%.
- Beginning January 1st, 2018, the government suspended the need for import licenses and importer no longer need a license to import corn