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An Argentine transport union began an indefinite strike on Monday that is affecting the supply of the Rosario grain and derivatives export hub, although its shipments continue normally at the moment, said the associations linked to the agro-export activity.
In the province of Santa Fé, where the Rosário terminals are located, transporters prevented trucks with grain from passing along the roads, practically paralyzing the entry of vehicles into one of the largest exporting centers in the world. Companies are using their stocks to maintain exports.
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The harvest of corn and soybeans, hit hard by the drought, has just begun. Therefore, traffic is usually intense at this time of year in Argentina, one of the world's largest exporters of both products.
The Single Union of Cargo Transporters (Siunfletra), which brings together truck drivers — Argentina's main means of transporting grains — wants to participate in meetings between the sector's chambers and the government to discuss reference rates, considered low by the category.
The third largest economy in Latin America is going through a difficult economic situation, with annual inflation above 100% and few foreign exchange reserves.
“The arrival (of trucks with grain) is being hampered, but there are stocks (reserves) to work with,” said Guillermo Wade, manager of the Chamber of Port and Maritime Activities (CAPyM).
Source from the chamber of grain exporters and processors CIARA-CEC said that ship loading was maintained on Monday, although it warned that reserves of grains and derivatives are low.
The current Argentine agricultural campaign was affected by the worst drought in recent decades, causing significant production losses, which in the case of crops such as soybeans and wheat imply production losses of around 50% compared to last year.
“Land freight transport is in an emergency situation. The rates are ridiculous. You cannot cover the costs of the truck, it is not profitable”, said Daniel Seanopolo, representative of Siunfletra, who added that the demonstration will continue until they are received by the government.
In Argentina, more than 80% of grain transport is done with trucks.
Source: Maximilian Heath | Notícias Agrícolas
