Argentina Sees EU Soymeal Opportunity as Deforestation Rules Threaten Brazil Trade – Datamar News | 28/10/26

Argentina could expand its soybean meal exports to the European Union as Brazil faces challenges in complying with the EU Deforestation Regulation (EUDR), which will take effect on December 30, 2026, requiring importers to prove that their products are not linked to deforested land. Brazil, the EU’s largest soybean meal supplier, accounted for approximately half of the bloc’s imports in 2025, when it exported a record 23.3 million tonnes worldwide. However, the European Feed Manufacturers’ Federation (FEFAC) warned that traceability requirements could exclude up to 4 million tonnes of Brazilian soybean meal from the European market, equivalent to approximately 17% of the country’s total exports. The main challenges stem from the geographical spread of agricultural production and the complexity of logistics chains, as some Brazilian producers are located more than 2,000 kilometers from seaports and must combine road, rail and barge transportation. In contrast, Argentina’s main soybean-producing areas are located within 350 kilometers of the Rosario port hub, making traceability easier and less expensive. Gustavo Idígoras, president of CIARA-CEC, stated that Argentina is prepared to cover a potential shortfall of 5 to 6 million tonnes, supported by its VISEC traceability system, which tracks soybean and beef production through to export. FEFAC classified Argentina as a low-risk country, compared with Brazil’s medium-risk rating, and projected that nearly all Argentine soybean meal production in the first half of 2027 would meet European requirements. Argentina, the world’s largest soybean meal exporter, shipped approximately 27 million tonnes in 2025, with roughly one-quarter destined for Southeast Asia. A potential shift in trade flows toward Europe could boost Argentine exports, while Brazil may seek to expand its presence in alternative markets. Paraguay, another important soybean supplier to Argentina’s crushing industry, also received a low-risk classification from FEFAC. Link to Article