Argentine port workers’ strike may impact Brazilian millers
The workers’ strike in the Argentine ports, now in its third week, may disrupt Brazil’s wheat milling operations if it does not end soon, representatives of the Brazilian milling industry told Reuters on Dec. 21.
The report cited government data that showed incoming wheat volumes dropping, a sign that the Argentine strike is taking a toll on imports.
Brazil is perennially Argentina’s biggest wheat supplier.
In a year-on-year comparison, the data showed that wheat and rye imports fell by half through the third week of December, to around 14,000 tonnes per day. Brazil just completed its own wheat harvest, estimated at 6.3 million tonnes.
Rubens Barbosa, president of the wheat millers’ association Abratrigo, told Reuters that although this is a time of the year when Brazilian mills buy relatively little wheat, that will soon change.
“If the strike doesn’t end, some will face limited supplies,” he said.
Brazil imported 4.3 million tonnes from Argentina in the year through November. US and Russian trade volume rose by 92% and 159% in the period, respectively, a sign Brazil is accessing alternative suppliers, Reuters reported.
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