# How drought will impact Argentina's economy, banks, insurers - BNamericas

> Moody's says the severe Argentine drought will reduce GDP by about 0.5% in 2018 and lower federal tax revenue that relies on farm export taxes. The central bank estimates soy output will fall 31% and corn 14% versus 2017.

- Date: 2018-06-01 · published 2018-06-01T12:00:00.000Z
- Category: weather · region Argentina · magnitude medium
- Page: https://feedsoft.ai/events/64371-how-drought-will-impact-argentina-s-economy-banks-insurers-bnamericas
- Commodities: [Soybeans](https://feedsoft.ai/c/SOY.md), [Corn](https://feedsoft.ai/c/CORN.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md)

## Why it matters

Smaller Argentine soy and corn crops remove a major export supply from world markets, supporting soybean, meal and corn prices and tightening availability for feed buyers.

## Read by commodity

- SBM: bullish ▲
- SOY: bullish ▲
- CORN: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SOY | 2025-01-16 | [EU soybean meal prices rise as Argentina's drought impacts production](https://feedsoft.ai/events/26587-eu-soybean-meal-prices-rise-as-argentina-s-drought-impacts-production.md) | +2.2% | -1.2% |
| SOY | 2018-04-03 | [Argentine drought hits farmers hard, undermining economy \| AP News](https://feedsoft.ai/events/65362-argentine-drought-hits-farmers-hard-undermining-economy-ap-news.md) | +1.1% | +0.2% |
| SOY | 2023-02-17 | [Weather factors in South America: Drought in Argentina and excess rainfall in Brazil weigh on markets](https://feedsoft.ai/events/13669-weather-factors-in-south-america-drought-in-argentina-and-excess-rainfall-in.md) | +0.2% | -3.3% |
| SOY | 2023-11-16 | [Argentina’s Drought-Hit Soy Woes Add to Next President Economic Challenges - Bloomberg](https://feedsoft.ai/events/13946-argentina-s-drought-hit-soy-woes-add-to-next-president-economic-challenges.md) | -2.1% | -5.1% |
| SOY | 2023-02-16 | [In Argentina's drought-hit fields, billion dollar losses and farmers going under](https://feedsoft.ai/events/13981-in-argentina-s-drought-hit-fields-billion-dollar-losses-and-farmers-going-under.md) | +0.6% | -2.2% |
| CORN | 2022-12-02 | [Agriculture woes will have wider impact in Argentina](https://feedsoft.ai/events/13994-agriculture-woes-will-have-wider-impact-in-argentina.md) | -1.9% | +2.9% |
| CORN | 2018-04-03 | [Argentine drought hits farmers hard, undermining economy \| AP News](https://feedsoft.ai/events/65362-argentine-drought-hits-farmers-hard-undermining-economy-ap-news.md) | +0.7% | +1.4% |
| CORN | 2019-10-01 | [Argentina Crops Being Impacted by Drought Conditions - ProAg](https://feedsoft.ai/events/56410-argentina-crops-being-impacted-by-drought-conditions-proag.md) | +1.5% | -0.6% |

## Sources

- bnamericas.com: https://www.bnamericas.com/en/news/how-drought-will-impact-argentinas-economy-banks-insurers1

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.