Argentina Considers Extra Corn-Export Quota of 3 Million Tons

Argentina, the world’s second- biggest exporter of corn, may allow growers to ship an additional 3 million metric tons of the grain this year, Agricultural Undersecretary Oscar Solis said.

The new quota may be authorized once the agricultural, economy and industry ministers set up a system to issue export permits after the agency that previously handled those was dismantled earlier this year, Solis said today in a telephone interview from Buenos Aires, without providing a time-frame. As of March 31, exporters had been granted approval to ship 5.3 million tons of corn this year, according to ministry data.

Farmers are currently harvesting the 2010-2011 corn crop, which will total 19.5 million tons, according to forecasts by the Buenos Aires Cereals Exchange. The government requires growers to earmark 8 million tons for domestic consumption.

Agricultural Minister Julian Dominguez said earlier this week that exports will be authorized in the next few days. Dominguez is working with the industry and economy ministers to find a way to issue permits for the shipments, Solis said.

(Source: http://www.bloomberg.com/news/2011-04-01/argentina-considers-extra-corn-export-quota-of-3-million-tons.html)