The last increase of 4.5% in diesel oil meant an extra cost of 8 billion pesos ($98.9 mn) for the field. It reflected in a report by the Argentine Rural Confederations (CRA), which stated that with inputs at dollar value and production at peso value, profits shortened. Also, the sector will have to contribute some 3.79 billion pesos ($46.83 mn) in taxes.
The Indec's agricultural machinery industry report highlights a 72% year-on-year increase in agricultural implement sales in the third quarter of 2020, measured in units. There is a substantial increase in sales of sprayers, hoppers and mixers, also increased 42% purchases of combines and 27% of tractors.
Gas station sales during October were up 5% from September, although overall sales were up 2.2%, a recovery that the industry considers "slow" because marketing remains 20% below the pre-pandemic level.
Yesterday, the Chinese-owned company Envision Energy inaugurated the "Vientos del Secano" wind farm, with 20 wind turbines and a capacity of 50 Mw, in the Buenos Aires district of Villarino, near Bahía Blanca. It is the second investment of the firm in the region, a year ago put into operation the park "Garcia del Rio" consisting of four wind turbines with a contribution of 10 Mw. The Envision Group has been named one of the ten most essential companies among the 50 smartest companies in the world in 2019 by the MIT Technology Review.
Neither the temporary drop in retentions nor the rise in international prices that consolidated an increase of more than 30% since last March, managed to accelerate the liquidation of foreign currency in agriculture in November, which would end up with around $1.6 billion, a drop of about 5% concerning the previous month. The year would end with a fall of approximately 15%.
Hand in hand with the loss of value of the peso against the dollar, the price of real estate in the City of Buenos Aires is increasingly lower. The dollar values of used two and three-room apartments showed an average decrease of 6.7% during the last quarter and 16.7% in its interannual comparison. The drop reaches 22.09% if we compare the current value with February 2019 (the peak) which reached $2,400 per m2, this is the seventh quarter of consecutive falls.
The Industrial Production Index (IPI) registered a year-on-year fall of 3.2% in October. Concerning September, the activity showed an advance of 1.2%, although in seasonally adjusted terms it did not improve.
Textile entrepreneurs look to the future with optimism. They are sure that 2021 will be a year of exit from the crisis, and based on this, they plan investments of $250 million. If the sector's incentive policies remain in place, it estimates that over the next three years 200,000 jobs will recover throughout the agro-textile and clothing chain.
The price of soybeans in the international market closed yesterday its seventh consecutive day of rising to reach $439.15 per ton, its highest value in six years, a figure that also revalues the local harvest to a record $15.5 billion. It is an ideal scenario for the Argentinean economy that would start receiving the most substantial foreign currency income between March and April next year.
In the domestic market, the increase in sales is 8.3% accumulated for the first nine months of 2020. Argentina exported a total of 337.5 million litres of wine in the first ten months of 2020, which implies a growth in the volume of 35.7% compared to the same period in 2019. In the world ranking of exporting countries, Argentina went from 11th to 8th place, thanks to the work of the public and private sectors.