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Farmers Delay Pricing Soy in Argentina Trade-Currency Wager | Bloomberg

Soybean growers in Argentina are playing a waiting game, wagering on better prices ahead as the U.S. and China inch toward a trade deal and as nation’s currency keeps depreciating.

Farmers on the Pampas arable belt have signed delayed-price contracts for almost three quarters of the 12.2 million metric tons they’ve sold to crushers and exporters so far, according to government data. That compares with 60 percent at the same stage last year.

Delayed-price contracts work like this: Farmers harvest fields and truck beans to port. But they set a deadline of later in the year to fix a price and get paid. The harvest is just getting started, and many of the contracts were signed in advance of collection. Argentina is the world’s biggest exporter of soybean meal, made by crushing the oilseed.

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Farmers Delay Pricing Soy in Argentina Trade-Currency Wager – Bloomberg.