Expoagro 2023 exceeded business expectations

More than 100,000 visitors, USD 1,200 million in business, 23 countries, representatives from 18 embassies, 8 international chambers of commerce and close to 80,000 auctioned heads of cattle, position Expoagro as an exponent of the drive of the national agribusiness, even in a complex context.

In a complex sector scenario, Expoagro demonstrated, once again, that the Argentine agro-industrial ecosystem has the potential to boost the economy and international projection hand in hand with innovation and local know-how. 

Patricio Frydman, Exponenciar’s Business Manager, highlighted that «the exhibitors agreed that the business carried out was above their expectations, despite the climatic-economic context.»

In this framework, Frydman highlighted that, although the context is adverse, «we believe that these days we have created an oasis of optimism, and we are proud to know that the producers have felt this positive energy in each interaction.» Plus, he added: “This result is the fruit born of the effort and dedication of our team, as well as the support and trust of the exhibitors. We will continue to work hard to maintain this level of excellence and keep exceeding expectations in the future.»

Versatile Tools to Contain the Sector

On the side of banking entities, 10 public and private banks arrived at Expoagro 2023 YPF Agro Edition with more than 30 proposals to accompany the sector. Special rates for the purchase of machinery, extended terms, credits for export pre-financing, short, medium and long term lines, all these tools adapted to the diverse needs of agribusiness.

Until the early hours of Friday afternoon, Banco Provincia, Expoagro’s main sponsor, registered over 3,900 loan pre-applications for machinery for 164 billion, a figure that will be exceeded when the final sale ends. Despite the drought that affects a large part of the country; many producers chose to invest, driven by the rates starting from 38% per year offered by the entity.

Juan Cuattromo, head of the financial entity, stated: «We know that it is a difficult year, the drought is a reality in our province, and that is why the Bank has made available an unprecedented line of financing for affected producers, with an attenuated rate and grace period, through which we have already granted more than 7,000 million pesos”.

The Banco de la Nación Argentina (BNA) granted credit requests for US$ 100 million to finance exports of goods and services generated in the agricultural sector, at an interest rate of 1%, which will facilitate the entry of dollars from abroad and the increase of monetary reserves in the country.

In addition to providing financial assistance in dollars to expand production in agriculture and direct it towards the foreign market, the BNA also provided credit requests for $45,000 million for the purchase of nationally manufactured agro-industrial machinery.

«We continue to support agriculture because we want to strengthen production in this fundamental sector for our country,» summarized the president of the BNA, Silvina Batakis, at the closing of Expoagro 2023, the agricultural exhibition that concluded today in the Buenos Aires city of San Nicolás.

In addition to the loans, around 600 ´BNA Conecta´ rounds were carried out with the main manufacturers of agro-industrial machinery during the entire exhibition. From there, businesses were managed for about 3,000 million pesos.

The BNA also arranged the AgroNación cards, with flexible financing terms, which generated commercial agreements for $400 million, and PymeNación, with favorable results for small and medium-sized companies above $2,000 million.

On his part, Agustin Ibarguren, ICBC Agribusiness Manager, said: «The demand that we noticed this year is similar to that of previous years,” although with a change in destination. «Unlike other editions, there is less demand for investment credits in machinery, but a large growth in the demand for working capital, in a certain way, to alleviate the lack of production due to the drought that is taking place in the sector,” Ibaurguren explained.

Officials from Banco Galicia commented that they exceeded $40,000 million in operations and initiated processes for more than 120 operations for the purchase of agricultural machinery.

On its part, BBVA committed operations for almost $9,000 million and more than USD 13 million, in more than 160 financing operations. «The projected amount will exceed $20,000 million in pesos and USD 40 million in dollars,» said people from the entity, clarifying that these are initial figures, recorded before the closing of the expo.

“It was a spectacular exhibition, not only because of the dynamics and seeing all the clients together, but we doubled the number of operations in relation to the previous year. Actually, I think we sold two and a half times more, in terms of machinery equipment,» said Fernando Bautista, from Banco Santander.

In addition, Bautista held that “producers are thinking about how the future is to be unfold. Part of today, from a super tough situation basically due to the drought. And the bridge between that drought and the next productive approach is financing. As a Bank, we are willing to help and be one of the entities that finance customers during this hard time.”

Meanwhile, Karina Gómez Vara, Banco Patagonia’s Company Business Superintendent, analyzed: «We finished the 2023 edition with more than 4,000 visitors to the stand, many of them interested in the financing lines and agreements that taken to the expo for $5,000 million, even linking new customers. The launch of its new WAPA product was also highlighted, which had an excellent reception among the customers who were interested.”

Another of the entities that participated in the National Capital of Agribusiness was Banco Macro. They assured that more than 1,500 customers visited their stand to learn about the entire value proposition offered to the agricultural producer.

From Macro, they reported that «there was a great demand for the credit line of 2,000 million pesos at 24 months that is essentially aimed at helping clients affected by drought.» Those who visited the stand were also able to quickly approve their credit to apply to the over 100 financing agreements for agricultural machinery. Finally, they said that «the credit lines in dollars for working capital and investment projects created great interest.»

It should be noted that Banco La Pampa and COMAFI were also present with promotions.

80,000 Heads Sold and Very Good Averages

The Livestock Sector had a very intense agenda of technical talks and special activities from the IPCVA and the Breeders’ Associations of the breeds, such as the launch of the World Brangus Congress with the strength of Expoagro, which will take place between the 19th and 27th of April in Argentina.

Another traditional livestock event in the show were the televised livestock auctions, which in this edition were four, in charge of the consignee firms Negocios de Hacienda, Colombo & Magliano, Campos y Ganados and Rosgan. In total, almost 80,000 heads were sold with very good average prices and quality of the animals.

Good Climate Prospect for Business

Emiliano Ferrari, Valtra Senior Sales Manager, commented that «the experience of having been the official tractor of the show was first a dream, and today a huge joy for the entire Valtra family, having been protagonists of the largest exhibition in the country and South America. ” 

In terms of business, Ferrari highlighted that «once more, producers and businessmen were present at Expoagro; we replied to many concerns, we had opportunities to quote tractors and harvesters, we were able to close deals within the framework of the exhibition and we will close others during the month, ” Ferrari added.

Along the same lines, Javier Grasso, Commercial Manager of Metalfor, maintained that on the third day of the exhibition, they equaled the volume of contacts they had achieved in the 2022 edition. Regarding sales, he explained that «we recorded 50% less operations in new self-propelled machines than last year.” However, he assured that «from the point of view of expectations it was a very good edition given the situation we are going through.»

Federico Bosch, head of agricultural machinery extension in OMBU Maquinarias, specified that there were over 300 quotes throughout the four days of the sample. Around 60% of this figure was made of the different tools offered by the banks.

In a general commercial trend, given the current context for the sector, Bosch explained that, «although in our case, the volume of commercial activity was reduced by 20% compared to last year, it was an edition that met our expectations.”

International Business

Businessmen, ambassadors, embassy officials, commercial attachés and political advisers from all continents were part of the different delegations that toured the exhibition and held meetings to learn about Argentine production. 

The commercial exchange, knowledge and business projections were common themes both in the ICBC International Tent and in the Pampero Agribusiness Auditorium.

Among others, there was interest in direct seeding, digital farming and silo technology. In addition, there was interest for Argentine agricultural machinery, thus generating links with local companies.

During Expoagro, the Pampero Agribusiness Center concentrated more than 40 successful linking meetings, which enhanced and highlighted the Exhibition as the National Capital of Agribusiness. There participated over 50 chambers, companies and entities from the sector.

After the success achieved in this new edition, many exhibitors are in the process of confirming their lot for next year. Some have even stated their intention of expanding their participation.