Argentine Government Scraps All Grain Export Withholdings

The Argentine government announced it will remove all withholdings on grain exports until October 31 to increase foreign currency inflows, presidential spokesman Manuel Adorni said. He wrote on X: “To generate a greater supply of dollars until October 31, there will be zero withholdings on all types of grains.”

The measure comes after a sharp depreciation of the peso, which forced the Central Bank to sell over $1 billion from its reserves to support the exchange rate. Analysts note that this intervention has raised concerns about Argentina’s ability to meet upcoming debt obligations, including payments to the IMF and other creditors.

By suspending export withholdings, the government aims to incentivize grain exports, a major source of dollar inflows for the country. Key crops such as soybeans, corn, and wheat play a critical role in Argentina’s foreign currency reserves.

The policy is intended to stabilize the currency and improve liquidity in the foreign exchange market while supporting the government’s broader financial needs. Exporters are expected to respond to the temporary relief, potentially increasing the volume of grain shipments in the short term.