As if it were a final soccer tightly closed, all of the gallery is waiting for the play to unlock the match and end the result was defeat.
So the Production is looking forward to the negotiation for the purchase of SANCOR by Adecoagro it is concrete and achieve the balance lost by the demand of milk in Argentina.
The crisis of SANCOR aggravated from march 2017 shows a steep decline in their participation in both of their claim (falls of 33% of the reception in 2014 to 10% in 2017, taking natural tension to the transactions of purchase/sale of milk) as well as in its foreign trade (9% in 2014 dropped to less than 2% in 2017). We recall that in 2014 and 2017, global production fell more than 12% and exports fell 61% in volume and 44% in foreign currency:
In the next chart, we look at how it has changed the market for the purchase/sale of fresh milk in Argentina from 2016 to this part. There we remind that at the beginning of 2017 they began to have significant increases in the values of raw material up to march 2017 month SANCOR expresses its crisis, and from which the prices just kept slightly increased to undermine the ability of the purchase of the producer:
To be concrete, finally, the transaction between the companies, the scenario for the milk producer would show a light at the end of the tunnel.
The remarkable improvement in the purchasing capacity of the business exporter ($7,50/lt) thanks to the revaluation of the exchange rate, you would append the recovery of the tension in the purchase/sale of milk which would result in the expected recovery of the price of the raw material. This would make the sector of primary production of the quagmire economic.