Food and Beverage Production Falls by 3% in Argentina

The Argentine agri-food sector has experienced a decline, as reported by INDEC's latest Industrial Production Index. The food and beverage industry ended July with a 3% year-on-year drop. However, from January to July, there is a 4.9% increase compared to the same period in 2024, highlighting a mixed scenario. Some sectors within the industry showed significant declines while others remained buoyant. Viticulture took a heavy hit with a 15.3% reduction in production in July, adding to a 1.6% drop year-to-date. Exports of wine also fell by 21.1%. The crushing of oilseeds fell 9.1% year-on-year, affecting the production of oils and by-products, with a 1.3% drop. Despite this, sunflower oil production surged by 40.7% in July and 17.6% year-to-date. Conversely, sectors like fruit, vegetable and legume preparations grew by 6.4%, driven by higher demand both domestically and in exports, particularly of frozen vegetables and fruit concentrates. The dairy sector showed the most positive growth, with a 5% increase in July, supported by a 7.7% rise in primary milk production, accumulating a 10.8% increase for the year, consolidating its position as a key growth pillar in the national food matrix. Source: Revista Chacra