INSUBCONTINENT EXCLUSIVE:
performance has improved significantly
Looking ahead, the balance of risks appears neutral, though the forecast points to moderate growth with high uncertainty.The Inter-American
Development Bank (IDB) attributes export growth to increased volumes from South America, which offset price declines.Volatile Commodity
PricesIn the first quarter of 2024, year-on-year rates were positive for coffee (36.9%), sugar (8.5%), iron ore (1.9%), and oil
(1.0%).However, soybean and copper prices declined by -20.9% and -5.3%, respectively.Prices remain historically high but are trending
downward, expected to continue in the coming quarters.Latin American Exports Rise Amid Coffee, Soybean, and Commodity Volatility
(Photo Internet reproduction)Increased volatility this year varies across products and sectors
Coffee saw exponential growth, while soybeans and sugar experienced contractions.In the extractive sector, copper and oil prices rose, while
Arabica prices rose 8.9%, and Robusta surged by 59.4%.Soybeans: Prices dropped 20.9% year-on-year due to record harvests in Brazil and
production recovery in Argentina, despite weaker demand from China
Floods in Brazil could drive prices up again.Sugar: Prices rose by 8.5% year-on-year, driven by reduced global supply and high production
projections for 2024 in Brazil.Oil: Prices increased by 1.0% year-on-year, boosted by OPEC+ production cuts amid Middle East
conflicts.Copper: Prices fell by 5.3% year-on-year, despite a slight rebound in early 2024 due to improved Chinese economic activity and
decline in early 2024 due to increased supply from Australia and Brazil.Latin American Exports Rise Amid Coffee, Soybean, and Commodity
VolatilitySouth American exports grew by 1.9% year-on-year in Q1 2024, following a 4.5% decline in 2023
Increased volumes offset the impact of falling commodity prices.Central American exports slowed, rising by 0.7% year-on-year in Q1 2024,
year-on-year.Notably, Paraguay saw a 27.8% increase, Argentina 18.6%, Venezuela 17.6%, Peru 6.5%, Brazil 6.4%, Uruguay 4.0%, Chile 2.9%, and
