Argentinian consumers change habits
The war disrupted global agricultural exports from Russia and Ukraine, two grain-exporting powerhouses affecting other large suppliers such as Argentina.
The Southern American country is the world’s biggest soybean oil and meal exporter, the second-largest global provider of corn, and a key wheat exporter.
Although Argentina was already battling domestic inflation now over 60%, after the war broke out it took additional steps, enlarging the wave of export restrictions that at least 19 countries have imposed.
A source in Argentina’s Agriculture Ministry, who asked not to be identified because he was not authorized to speak to the media, said the government’s priority was to safeguard the volumes needed for domestic consumption.
In March, the government increased taxes on its soybean oil and meal exports and implemented a lower cap than last year for new wheat exports.
Despite these moves, the government has struggled to stem entrenched food price inflation.
In the Buenos Aires metropolitan area, the cost of bread has risen 69% in a year, meat 64%, and vegetables 66%.
Consumers’ habits have changed. In Tapiales, a town in Buenos Aires province, people go to the central market looking for the best offer.
Edith Elizabeth Plou, a 39-year-old shopkeeper, traveled miles from her home to get cheaper prices for her groceries. She is considering getting a second job to make ends meet.
"I work eight hours and the truth is that I often think about finding a second job to cover my expenses,” Plou said.-Reuters
The Southern American country is the world’s biggest soybean oil and meal exporter, the second-largest global provider of corn, and a key wheat exporter.
Although Argentina was already battling domestic inflation now over 60%, after the war broke out it took additional steps, enlarging the wave of export restrictions that at least 19 countries have imposed.
A source in Argentina’s Agriculture Ministry, who asked not to be identified because he was not authorized to speak to the media, said the government’s priority was to safeguard the volumes needed for domestic consumption.
In March, the government increased taxes on its soybean oil and meal exports and implemented a lower cap than last year for new wheat exports.
Despite these moves, the government has struggled to stem entrenched food price inflation.
In the Buenos Aires metropolitan area, the cost of bread has risen 69% in a year, meat 64%, and vegetables 66%.
Consumers’ habits have changed. In Tapiales, a town in Buenos Aires province, people go to the central market looking for the best offer.
Edith Elizabeth Plou, a 39-year-old shopkeeper, traveled miles from her home to get cheaper prices for her groceries. She is considering getting a second job to make ends meet.
"I work eight hours and the truth is that I often think about finding a second job to cover my expenses,” Plou said.-Reuters
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