LAUSANNE, Switzerland (Reuters) - Planned U.S. tariffs on steel and aluminum pose a big risk for the agricultural industry because of the threat of a tit-for-tat escalation, the supply chain president at food commodities merchant Cargill [CARG.UL] said on Tuesday.
Gert-Jan van den Akker told the FT Commodities Global Summit in Lausanne that agricultural markets were tightening and volatility coming back, adding that this was good for traders.
Akker said Argentina’s soybean crop was likely to be between 40 million tonnes and 45 million tonnes this year, down from an initially expected 57 million tonnes.
Drought has dented crop prospects in Argentina. The U.S. Department of Agriculture this month forecast a 2017/18 crop of 47 million tonnes, down from an original forecast of 57 million tonnes issued in May last year.
Reporting by Julia Payne; Writing by Nigel Hunt; Editing by David Goodman