In terms of exports, Córdoba fared better than the rest of the country during the first four months of the year.
The province exported 2,723.2 million dollars between January and April, which implied a 1.2 percent growth compared to the same period of the previous year, according to data from the agency ProCórdoba.
In the same period, the country placed goods and services abroad for $ 17,541 million, 10.1 percent less compared to the first four months of last year, according to the report on Argentine commercial exchange (ICA) of the National Institute of Statistics and Censuses (Indec).
This difference is directly related to the advance of primary products in the export table, with a strong local incidence to the detriment of the share of industrial exports, seriously affected by the lower external competitiveness and by the quarantine to stop the Covid-19 virus. .
This “primarization” is not new; in fact, in recent years it has been promoting an increase in Córdoba’s participation in national exports: in 2018 it represented 12.8 percent of total Argentine shipments abroad; last year, 13.9 percent, and at the end of the first quarter climbed to 15.5 percent, according to data from ProCórdoba and Indec.
The export of primary products, which in the first quarter represented 46 percent of Córdoba’s sales abroad, increased 31 percent compared to the same period last year.
This segment was mainly made up of wheat, corn and peanuts, which between January and April represented 90 percent of Cordoba’s primary exports.
Manufactures of agricultural origin (MOA) were displaced to second place, which last year was the most important item, and which saw its share decrease from 46 percent to 39 percent. This segment, represented mainly by by-products and by soybean oil and to a lesser extent by prepared peanuts, reduced its external sales by 14.5 percent.
The manufactures of industrial origin (MOI) fell even more, 18.1 percent, compared to the first four months of 2019. It must be taken into account that this item is headed by vehicles, by auto parts and by components of tractors and engines, activities slowed down by compulsory isolation.
Brazil continued to be the first Cordovan market in the world, with 15 percent of shipments; followed by Vietnam, with 11 percent, and Indonesia, with eight percent.
This week, Indec reported national data on foreign trade for May. In the first five months of the year, the country exported for 22,602 million dollars, which deepened the drop to 11.5 percent, at the same time that it imported 15,990 million dollars, an activity that decreased 23.8 percent with respect to the same period of 2019. This resulted in a trade surplus of $ 6,612 million.
Imports by Covid-19
On the other hand, the Central Bank of the Argentine Republic (BCRA) made access to import dollars more flexible, enabling payment at source mainly in operations related to the coronavirus.
These companies will be able to access the official dollar to pay from the moment the shipment is dispatched at the port of origin.
This is applicable to critical medications; to purchase kits for the detection of the Covid-19 coronavirus; to inputs for the local production of medicines; to operations that embark from July 1 or that, having been shipped previously, had not arrived in the country before that date, and to payments that do not exceed the amount of a million dollars.
In addition, the monetary authority will increase the barrier to three million dollars when it comes to the provision of medicines, supplies for local production, or medical goods.