by Lady Michelle-Jennifer Santos, TSR Founder and Publisher, Political Strategist, Senior Commodities Expert and Strategy/Peace Negotiator with the UN Security Council Special Envoy to the Arab Nations
August 15, 2012 (TSR) – Argentina resumes high quality white rice export to Iran after 19 years, during which the transactions were paralyzed, key industry sources said yesterday.
The General Manager of Cooperativa Arroceros de Villa, Héctor Alonso, informed that the shipment will leave between September 10 and October 10 with 30.000 tons.
The first shipment of 14,000 tons, will leave from the Concepcion del Uruguay port in the province of Entre Rios on Sept 10.
“The rice sector in the province of Entre Rios has worked hard and has taken a long time to recover the Iranian market, which is blocked by the United States, ” Alonso also told the news agency Telam.
He also commented that the transaction “shall mean a movement of AR$ 276 million – US$ 17 million – in terms of export value”.
The high quality Argentine rice is worldwide considered as the first with the best price – along with Uruguayan rice – with an estimated price of US$ 585 per ton.
“Progress was made to resume the operation through a ‘trader’, an Austrian company Voest Alpine Intertrading, which is the ultimate buyer for Argentina, and it will eventually go for export”, he said.
Rice production in Argentina is concentrated in the coastal region, mainly in the provinces of Entre Rios and Corrientes, which account for 57 and 33% respectively of total production, 10% is divided between Santa Fe, Chaco and Formosa. The estimated total area for Corrientes, Entre Rios and Santa Fe was 150 927 ha planted in 1672 lots.
Argentina produces about 1.4 million tonnes of rice, of which 70 percent is exported.
Argentina and Uruguay are the two largest exporters of rice in South America to destinations in Latin America. In recent years saw a sharp drop in Argentine exports due to weaker demand from Brazil and a smaller supply of Argentina.