SPRAYTEC MAGAZINE 05 ING

EDITORIAL

Staying focused

As every month, we share with the Spraytec family the progress, achievements, dreams, and goals that we set as a company. Some of them are achieved in the short term, but many unfold more slowly, and therein lies our strength: to create, dream, plan, work towards that project, and achieve it, no matter how long it takes us to do so.

In Argentina, we have launched a new product, Tractus Kit, after many ups and downs with the bureaucratic part of the registration system, but we did not give up, we made it! Our producers and clients can count on this product, a soluble powder fertilizer with easy dilution, specially designed to provide high Boron absorption and cover any deficiencies the plant may have of this micronutrient.

In this edition, we share the identikit of Francielen Mio, administrative coordinator at Spraytec Brazil. She states that out of all the places she knows, she would return to the city of Paratí, in the state of Rio de Janeiro.

Agustín Bianchini details the launch of Tractus Kit in Argentina, which took place in Expoagro.

For the 23/24 campaign, we have set a goal for 25% of our invoicing to be collected with grains through our exchange plan. True to our slogan “Once, always,” we will work tirelessly and professionally to ensure that every customer who joins the exchange program is satisfied with the value proposition. Hernán Waksman - Exchange Manager - develops a special report on how the system works and what the benefits are for the producer.

Did you know that soybeans are composed of 36% protein, 19% oil, 19% insoluble carbohydrates (fiber), 9% soluble carbohydrates, 13% moisture, and 4% minerals? Nuala Szler tells us all about this detail and much more about soybeans.

Julio R. Fagliari - Research Department of Agrolatina Group - from Brazil, shared an article with us about Balanced Nutrition throughout the cycle, with the aim of Evaluating the effectiveness of the Tractus Kit Evolution nutritional complex in pre-sowing desiccation of soybean crops.

The history of Ciudad del Este, Paraguay, is intrinsically linked to the Paraná River and the Friendship Bridge, which connects the city with Foz do Iguazú in Brazil. Today we will learn more about this city where Spraytec also has a branch.

And as every month, the Snapshots those photos that show us we are a family despite the distance.

I hope it exceeds expectations!

Until the next edition!

Diego Parodi Presidente de Spraytec

02

Editorial

Staying focused

By: Diego Parodi

04

Identikit

Francielen Mio

06

Research

BALANCED NUTRITION THROUGHOUT THE CYCLE

By: Eng. Agr. Dr. Julio R. FagliariResearch Department of Agrolatina Group

10

Interview with Agustín Bianchini

TRACTUS KIT was presented in Argentina

By: Juan Carlos Grasa

14

Report

An Endless Sea of Soybeans

By: Nuala Szler

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Territorial Roots

Ciudad del Este, Paraguay

24

Report

Spraytec launches its grain exchange plan in Argentina!

By: Hernán Waksman

30

Snapshots

General Production: Horizonte A editions

IDENTIKIT

1. Profession and place you occupy in the company?

I have a degree in History, and today I study Psychology. I currently hold the position of administrative coordinator at Spraytec, and am responsible for internal and external events.

2. Would you like to live doing something else?

Today I feel fulfilled with what I do, taking care of events and being able to help with Spraytec’s communication allows me to work with people and at the same time be creative, and these are activities that do me great good.

3. How do you imagine your life in 10 years?

Professionally, I plan on continuing to delve deeper into the area of communication, the knowledge that the History and Psychology courses bring me are important tools for my work. In my personal life, I have a special desire to be a mother, but it is something that I still see in the medium term.

4. Best reason to smile?

Having a life with full meaning, that is, a life that I can share with loved ones.

5. A life reference?

I have many people that I admire, but being very personal, I look up every day to my grandmother and her teachings. Always have a good relationship with people.

6. If you were an animal,

what would you be?

A cat.

7. A Brazilian pride?

Football player Marta Silva, professionally, managed to remain at the top of her career for many years, as a result of dedication and work, she also managed to maintain a good image and be a role model for other women.

FRANCIELEN MIO

13. Fran Mio?

8. If you had to have dinner with someone, who would you choose?

I would have dinner with my husband and friends, I always like to be in good company.

9. If you could travel back in time, who would you want to meet?

Without a doubt I would have gone to a Freddie Mercury concert

10. Something everyone should have?

Empathy.

11. Of the places you know, which one would you go back to?

The city of Parati, in the state of Rio de Janeiro.

12. Does being a Psychologist influence your daily life?

I’m in the 4th year of my psychology degree, and the knowledge I have influences the way I see the world and my behavior. I believe that it is always necessary to reflect before speaking or acting;

I am a daughter, wife, sister, friend and manager, and in all these roles I have elements in common. I try to be loyal and trustworthy, stable in my mood and behavior and I always try to act responsibly.

14. If you had to mount an expedition to a desert island with colleagues from Spraytec, who would you take, knowing that they will go through extreme situations.

- To carry things?

Adriano Vitor, I consider him someone centered, with a good sense of humor and intelligent, not lazy about hard work, at the same time as he is intelligent and works well in a team. He would do his job by finding the best way to do it.

- Make food?

Ana Rizzotto, creative and has excellent taste in food and is extremely organized. Not to mention that he works well in a team and whenever he sets out to do something it is with pleasure.

- To manage supplies?

Lauro Leonel, I’m sure he could make sure our supplies were enough until the end of our adventure. He is extremely organized and does not like

FRANCIELEN Identikit

wasting time or resources. Not to mention that he is one of the best people I know to work in a team, he is always open to hearing other people’s opinions.

- to bring calm in difficult times?

Renata Brito, I don’t know anyone who is more resilient and in a good mood. Everyone should have someone like her in their everyday life.

- To coordinate the group?

Vinicius Dellani, manages to be calm and cool to think and make difficult decisions in difficult times. Like the other members of our expedition, he works very well as a team, always ready to listen to everyone.

I believe it is clear that in this group, teamwork is the main factor that connects us! I believe that we can all learn one skill or another, but those who interact well with people have a better chance of surviving in any situation in life.

BALANCED NUTRITION THROUGHOUT

Eng. Agr. Dr. Julio R. Fagliari Research

Department of Agrolatina Group

Introduction

The Tractus Kit Evolution, associated with the standard herbicide glyphosate in desiccation, increases the efficacy in weed management, grain mass, number of pods per plant, and soybean productivity, compared to conventional treatments used as a source of boron. Boron is an essential micronutrient for plants, acting in the synthesis and transportation of carbohydrates, production and viability of pollen grains, grain filling, integrity of membranes and cell

In addition to nourishing plants for the maximum expression of their productive potential, Tractus Kit Evolution is an excellent tool in weed management, with high synergy with glyphosate and positive effects on soybean yield components.

walls, and phytosanitary resistance.

However, its content in Brazilian soils is low, and conventional sources used, even at high doses, have low agronomic efficacy, with many losses. That is, the boron applied in desiccation will not be available during the period of highest demand, in flowering.

In this context, Spraytec developed the Tractus Kit Evolution, which is one way to reduce costs and increase the effectiveness of weed management by providing boron to plants from desiccation to the beginning of flowering in a single operation. Tractus Kit Evolution + Multifunctional Adjuvant is a state-of-the-art biodegradable systemic nutritional complex, developed with high-quality raw materials, with two highly solu-

THROUGHOUT THE CYCLE

ble complexed boron sources.

The properties of Tractus Kit Evolution are related to better quality of the solution and application in weed management, high compatibility with pesticides, absence of saline effect avoiding corrosion and equipment wear, leaves no residues in the tank, lower losses due to leaching and subsequent rains, greater initial crop establishment and establishment in the field, prevents flower drop and abortion, greater production and viability of pollen grains, increased grain filling, number of pods, and productivity, as well as inducing plant self-defense and suppressing the soil phytopathogen bank, such as nematodes and necrotrophic fungi.

Tractus Kit Evolution is a cut-

ting-edge product that meets the needs of the field, as it goes beyond simple plant nutrition. Thus, the use of the product is an effective and safe tool, capable of integrating management strategies with positive impacts on application quality, nutrition, plant defense, and crop yield.

Objective

To evaluate the effectiveness of the nutritional complex Tractus Kit Evolution in desiccation during pre-seeding of soybean cultivation.

Materials and Methods

The experiment was conducted at the São José farm, located in the municipality of Maringá

in Brazil, during the agricultural year 2019/20. The soybean cultivar used was NA 5909 RG. The treatments applied in desiccation were (L or Kg p.c. ha-1): Glyphosate Standard (2.0), Glyphosate Standard + Tractus Kit Evolution (2.0 + 1.0), Glyphosate Standard + Boric Acid (2.0 + 3.0), and Glyphosate Standard + Sodium Octaborate (2.0 + 2.5). Tractus Kit Evolution is accompanied by the adjuvant Fulltec Max (0.2 L ha-1), favoring the quality of the application.

The experimental design was randomized blocks, using four treatments and four replications. Weed control was evaluated at 7, 14, and 21 DAA (days after application), and yield components such as grain mass, number of pods, and productivity were assessed after harvest.

The variables were subjected to analysis of variance and Tukey’s test (p < 0.05), using the statistical analysis system Sisvar.

“The number of pods per plant and productivity of soybeans compared to Boric Acid, Sodium Octaborate and Glyphosate alone”

Results

According to Figure 1, 21 days after application, the Tractus Kit Evolution treatment associated with Glyphosate achieved the best weed control (88.3%), compared to Boric Acid (78.2%), Sodium Octaborate (72.4%), and Glyphosate alone (72.1%).

As shown in Figure 2, the Tractus Kit Evolution treatment associated with Glyphosate increased grain mass, number of pods per plant, and soybean yield compared to Boric Acid, Sodium Octaborate, and Glyphosate alone.

The yield per hectare for Glyphosate alone was 107,607 bushels, Glyphosate with Sodium Octaborate 109,140 bushels, Glyphosate with Boric Acid 111,353 bushels, and Glyphosate with Tractus Kit Evolution 119,015 bushels. Compared to Glyphosate alone, the average increase per hectare in yield was 11,407 bushels with Tractus Kit Evolution, 3,745 bushels with Boric Acid, and 1,532 bushels with Sodium Octaborate.

Conclusion

Tractus Kit Evolution, besides nourishing plants aiming for maximum expression of their productive potential, is an excellent tool in weed management with high synergy with Glyphosate and positive effects on soybean yield components, standing out from conventional treatments Boric Acid and Sodium Octaborate. The use of high genetic potential cultivars associated with sustainable development requires innovative and disruptive products like Tractus Kit Evolution.

“The properties of Tractus Kit Evolution are related to a better quality of solution and application in weed management”

Figure 1

Efficacy of Tractus Kit Evolution in weed management.

Figure 2

Efficacy of Tractus Kit Evolution on yield components and productivity.

TRACTUS KIT, was presented in Argentina

Juan Carlos Grasa Director of HorizonteA

We are protagonists of this launch and we want you to explain to the Spraytec family what this product is about. Argentina has been eagerly awaiting this launch for a long time!

As you say, we are here at Expoagro launching a new product - it’s new here in Argentina, whereas in Brazil it’s been around for years - called TRACTUS KIT. So, what does TRACTUS KIT have? Basically, it contains 17% Boron and is used with an adjuvant that can be Fulltec or Fulltec Max. TRACTUS KIT is a soluble powder fertilizer, specially designed to provide high absorption and easy dilution, allowing the plant to fully utilize the product to address Boron deficiencies.

Why did you decide to start working on Boron in Argentina?

First, it’s important to consid-

Agustín Bianchini, Agricultural Engineer, with a Master’s degree in Soil Science specializing in fertility (Iowa State University, USA) is the technical manager of Spraytec Argentina. We spoke with him about the launch the company made at Expoagro.

er that Boron is a key micronutrient for crop production. When you look at the list of micronutrients, you immediately think of Zinc as the first one, and after Zinc comes Boron.

What are the functions of Boron within the plant?

The most important function is to contribute to the entire structural part of cells and tissues. It also plays a very important role in the reproductive part and everything related to the elongation of the pollen tube in the fertilization process. It stimulates flower production and reten-

tion, pollen tube germination and elongation, and fruit and seed development. It has activity on hormone production and regulation, hence its importance in key processes.

Is it oriented towards any specific crop? Because nowadays, sunflowers are being discussed a lot

If one looks back over the past few years and starts looking for information about Boron, the first crop that will appear is sunflower. But first, it’s important to understand the functions of Boron within the plant. Secondly, what we did was to search for information

“The moment of application can range from V6, V8 to R1”

related to soil analysis, and there is a study conducted by Hernán Sáenz Rosas, from INTA Balcarce in Argentina, in which they surveyed soils throughout the country and found that among the micronutrients that were declining at a faster rate, not only was Zinc included but also Boron.

What is the level of deficiency of this micronutrient in Argentina?

Recent soil surveys in the Pampas region, in the southeast and southwest, are showing that Boron is deficient in 70-80% of the analyses, while with Zinc, we are below 50%. There we have a yellow light telling us that Boron, a key micronutrient in crop production, is lacking in the soil.

In which crops is the lack of Boron most noticeable?

We began to observe symptoms of nutritional deficiencies associated with Boron in corn and soybean crops, typically appearing as leaf wrinkling. This is seen with increasing frequency. From there, we began working several years ago on the develop-

ment of various formulations based on Boron.

What level of yield response is recorded once TRACTUS KIT is applied?

We are starting to see interesting responses ranging from 200 to 400 kilograms on average in corn and wheat primarily; in soybeans, we see a slightly lower response. At the same time, we were working with different Zinc formulations and began to notice that when there is a response to Zinc application, with Boron, that response increases by 100 to 150 kilograms per hectare.

So, if we see a 300-kilogram response in Zinc, in Boron, we see 400 or 450 kilograms - that’s always talking about corn and wheat; those responses decrease in the case of soybeans, reaching between 30 and 50 kilograms, but still, there is a response in soybeans.

What is the timing of TRACTUS KIT application in the crop?

It’s better to apply it early than to apply it late, meaning it’s better to apply it at V6, V8

“If the crop was affected by any type of fundamentally abiotic stress, Boron is a micronutrient that helps us a lot to mitigate those problems”

“The most important function is to contribute to the entire structural part of cells and tissues”

TRACTUS KIT is a new product that contains 17% Boron. The recommended dosage ranges from half a kilogram to one kilogram per hectare, and the application timing can range from B6, B8 to R1. It is a product that should be accompanied by Fulltec or Fulltec Max at a dose of 100 cubic centimeters per 100 liters of water in the case of Fulltec, and 100 cubic centimeters per hectare in the case of Fulltec Max. It can be applied along with other phytosanitary products.

than to apply it at R1. There is a yield difference of between 100 and 150 kilograms regarding early application, and the second thing we noticed is that regarding dosage, some sites showed a greater response to half a kilogram and sites with a greater response to one kilogram.

We think that variable response may be related to the degree of Boron deficiency we have, so if the deficiency is severe, we have to go to the one-kilogram dose, and in the case of a mild deficiency, half a kilogram covers that need.

Beyond deficiency, what is the relationship between crop stress and Boron?

While we use soil analysis as a diagnostic tool, Boron is also a micronutrient that is closely associated with stress. So, if the crop has been affected by hail, frost, severe drought, or any type of fundamentally abiotic stress, Boron is a micronutrient that helps us mitigate those prob-

lems. Therefore, if the crop has Boron, it is better able to withstand those types of stress, and we believe that part of the response may also be associated with that situation.

What is the presentation that producers will be able to buy in Argentina?

The product comes in powder form and has a formulation that is very easy to dissolve. We believe it is a product that has a lot of potential, especially, as we discussed, due to soil nutrient deficiencies and also the visual symptoms of those deficiencies.

Agustín, and finally, I ask you, what about the availability of this product?

TRACTUS KIT is already registered, approved, the label and boxes are already made. The factory is producing it, so it will be available for the next campaign.

Thank you, Agustín!

An Endless Sea of Soybeans

By Lic. Nuala Szler

Soybeans are the primary oilseed crop cultivated in Argentina, commanding nearly half of the country’s total cultivated area. The production experienced a strong boost since the late 90s, with the spread of transgenic seeds and the no-till farming system, growing even more rapidly than corn, wheat, and sunflower production. The soybean cultivation area in Argentina expanded from a mere 2 million hectares in 1980 to an impressive 17 million hectares by 2005. In the last decade, soybean production has expanded and increased in the provinces of Santiago del Estero, Salta, Chaco, and Tucumán. Nevertheless, the provinces of Buenos Aires, Córdoba, and Santa Fe still lead the way, collectively accounting for three-quarters of the country’s soybean cultivation area.

According to Carlos Reboratti, from the Institute of Geography at the University of Buenos Aires, the remarkable growth of soybean production in Argentina is a result of a complex network that

intertwines the natural potential of the Pampas region, the opportunities arising for the expansion of a new crop, shifts in global food markets, advancements in agricultural technologies, and the influence of what is known as the “new agricultures”. The increase in the cultivated area was driven by both the substitution of other crops or fields destined for livestock, and by soybean encroachment on deforested or less productive lands compared to those in the Pampas region, expanding the production frontier. Nevertheless, the expansion of soybean production has had diverse environmental, social, and economic effects, the extent and characteristics of which are still subjects of debate.

Currently, the soybean complex in Argentina is organized with a marked export-oriented profile, beating even the cereal export chain to become the country’s primary export sector. Argentina is a significant global exporter of soybean-derived products. In recent years, the European Union and China have been the main destinations for exports, each representing approximately 20% of the total. Other countries to which

sales were directed include India, Vietnam, Egypt, Indonesia, and Iran.

Changes

If we go back a few decades, we can see that soybean production in Argentina is part of a paradigm shift in agriculture. This change gave rise to a new agricultural model characterized by the use of genetically modified seeds, herbicides, special pesticides, and innovative methods of management, known as no-till farming or zero tillage. The fact that seeds are genetically modified means that they are genetically manipulated to give them new characteristics and obtain immediate benefits, such as resistance to pests, greater tolerance to adverse weather conditions, or resistance to specific herbicides. This new form of production enabled the spread of transgenic crops in different regions of the country, even in areas where agriculture was not practiced due to environmental conditions (soil, climate, etc.) or because it was not economically viable. Another reason for its unprecedented expansion, as Reboratti argues, was the increase in the

Rosario, and its area of influence, is recognized as the hub of the industry worldwide, since 80% of the total national soybean production is processed and marketed there.

price of Pampas land, which led some producers to seek cheaper land outside this region, located in areas not so suitable for production, both due to their specific ecological characteristics and the climate fluctuations.

The establishment of this new agricultural model was initiated with the introduction of RR1 soybeans (Round-up Ready) in 1996, accompanied by the implementation of no-till farming practices and the utilization of herbicides, including glyphosate. Its results were immediately noticeable: in less than five years, between 1996 and 2001, this model prevailed, and all soybean production became transgenic. Then, between 1997 and 2009, crop production in Argentina increased from 50 million to 137 million tons, with soybeans being the crop that grew the most (from 11 million to over 30.9 million tons). In that sense, the area cultivated with soybeans also skyrocketed: from 38,000 hectares to 18 million hectares between 1970 and 2009, representing over half of the cultivated land.

Sojization

Now, the process of “sojization” in Argentina has been organized and revolves around a controversy of opinions. On one hand, experts view the soy complex as a significant job creator in the

Argentine economy for over the last fifteen years. They see it as responsible for the professionalization of the sector, leading to a new era of modernization and fostering development in rural regions. On the other hand, it has been criticized for causing the impoverishment of rural middle classes and peasants.

Beyond the Argentinian borders, the production and demand for soy have also increased considerably in recent decades. China stands as the world’s primary consumer, surpassing its own production level. The main cultivators and producers are located in the Americas: soy is the dominant crop in the United States, representing around 90% of domestic cultivation and generating 34% of global production. Brazil, Argentina, and Paraguay are the main producers in Latin America.

Social Concept

When it comes to the global social concept surrounding soy, it is also controversial for both sides. Its cultivation has had severe environmental consequences, such as soil degradation, indiscriminate deforestation, and displacement of land from peasants and indigenous communities. However, on the other side of the spectrum, the multiple uses and derivati-

ves of soy, highlight its valuable position in the world, emphasizing the importance of discussing a production and consumption model that takes into account constructive criticisms and is mindful of the social, economic, and environmental challenges at hand.

Diverse Uses

The Argentine Soy Chain Association (ACSOJA) emphasizes that the soy complex is much more than just food. Soybeans are composed of 36% protein, 19% oil, 19% indigestible carbohydrates (fiber), 9% soluble carbohydrates, 13% moisture, and 4% minerals. Once processed, soy is divided into proteins (meal) and oil. Soybean meal is primarily used in animal feed. However, it is also an ingredient in plastic compounds, synthetic fibers, paper coatings, and formaldehyde-free adhesives. On the other hand, soybean oil is one of the most versatile natural oils, as its molecular structure and proper profile of fatty acids can be easily modified for many applications.

Furthermore, soy has positioned itself as a renewable alternative in energy and chemical production. The use of soy-based products helps conserve fossil fuels and often improves human and environmental safety. In Argentina, crude soybean oil plays

a crucial role in the production of biodiesel, a renewable biofuel that is used as a partial or total replacement for diesel or gas oil.

This led to the implementation of the BioBus and EcoBus experiences in the cities of Rosario and Salta, respectively: In Rosario, 400 public transportation units began operating on a blend of 25% biodiesel, while two units exclusively use 100% biodiesel. Additionally, the establishment of the “Mesa de Migración del Transporte Público a 100% Biodiesel” (Table for Public Transport Migration to 100% Biodiesel) aims to replace conventional fuels used in public transportation with an ecological alternative, yielding cost savings and, most importantly, mitigating the environmental impact.

Following in Rosario’s footsteps, Salta has also made strides by introducing an articulated bus running solely on 100% biodiesel, along with nine units utilizing a 25% biodiesel blend.

ACSOJA also points out nu-

merous opportunities to use soy in the production of consumer products, ingredients, intermediate products, and industrial products. To illustrate the opportunities offered by this legume, we can mention some diverse examples, such as pet food, fish feed, hair care products, colored pencils, among others, as consumer products. As for ingredients and intermediate products, soy can be used in the production of ice cream, tofu, breaded cutlets, milk, juices, snacks, refined oils, polymers, and foams. And in the industrial sector, soy can be utilized in agricultural coadjuvants, industrial cleaners, printing inks, lubricants, and more.

Misinformation and lack of knowledge

On the other hand, Sofia Corina, an agronomist from the Rosario Stock Exchange, points out the misinformation and lack of knowledge surrounding soy. She affirms that soy is a legume whose proteins double the proportion found in other grains.

“Soy is highly nutritious and has multiple benefits,” she asserts. Furthermore, she points out that while a significant portion of soy in Argentina is dedicated to exports, a simple examination of supermarket product ingredients reveals the widespread presence of soy derivatives. Even in small amounts, soy lecithin is found in various items, ranging from cookies to nougats to chocolates.

Precisely based on these qualities, the “Soja Plus” program made by Solidagro utilizes extruded soy as a food program aimed at improving the nutrition of vulnerable people. Extruded soy is a protein concentrate obtained through the extrusion method of the grain, an industrial process that preserves the qualities and protein value of soy while adding elasticity and chewiness similar to beef. Also known as textured soy, it is now a key component of vegan and vegetarian diets due to its versatility, not only as a replacement for beef but also for its use in all kinds of recipes.

Complete Protein

Known as the “gift from the gods” for its properties and benefits, soy stands out for its high nutritional level and significant concentration of vitamins, macronutrients, minerals, and plant compounds. It is a complete protein as it contains all nine essential amino acids required for the human diet, just as red meats, milk, or cheese. However, this is only true when consumed in its natural form, such as edamame, tofu, or miso. It is not the case with derived products such as soy milk, soy yogurt, protein bars, or meat substitutes.

Among some of its properties, this superfood is beneficial for cholesterol, as it

reduces the levels of what is known as “bad cholesterol” by 3% to 4%. It helps prevent osteoporosis, has cardiovascular benefits, and improves intestinal metabolism. Soy is also recommended for people with diabetes, as it aids in stabilizing blood sugar levels. Furthermore, among its many attributes, it serves as a great benefactor for the skin, thanks to its hydrating and regenerating properties. Its antioxidant and rejuvenating characteristics provide radiance and help prevent the appearance of blemishes.

Sacred Grain

To conclude, we cannot fail to mention that while soybean cultivation is a relatively young protagonist in Argentina, soy is native to the Orient, where it was traditionally grown for grain consumption. It originates from Southeast Asia, and the earliest historical reference dates

Thinking about, choosing and promoting its benefits and its conscious methods of production and use will chart a path for soybeans that is even richer than the one it has followed so far.

back to 2838 BC. In China, one of the oldest cultivators, it was considered one of the five sacred grains, along with rice, barley, millet, and wheat.

Having come a long way, nowadays soybean production ranks eighth globally, following wheat, corn, rice, potatoes, barley, sweet potatoes, and cassava. It is also the most important oilseed crop in the world. Argentina, on the other hand, is the world’s leading exporter of soybean oil and soybean meal, and the third-largest exporter of soybeans, making this trade the main source of foreign exchange for the country. Rosario and its surrounding area are recognized as the global hub of the industry, as 80% of the total national soybean production is processed and marketed there.

This report has its limits, but as we can see, the virtues and nobility of soy would lead to a long and extensive list. Anything that discredits it, along with its production, trade, and use, does not refer to the legume itself but rather to the ways in which people relate to it. Thinking, choosing, and promoting its benefits and the ways of conscious production and use will pave the way for soy, making it even richer than the path it has traveled so far.

TERRITORIAL ROOTS

CIUDAD DEL ESTE, PARAGUAY

Ciudad del Este, located in the eastern region of Paraguay, on the banks of the Paraná River, has long been known as an important commercial center on the border with Brazil and Argentina. However, beyond its reputation as a shopping and commercial transactions paradise, this city has much more to offer.

The history of Ciudad del Este is linked to the Paraná River and the Friendship Bridge, which connects the city with Foz do Iguaçu in Brazil. Founded in 1957, the city has experienced rapid and substantial growth since its modest beginnings as a small settlement on the border. In the following decades, trade in Ciudad del Este has expanded exponentially, making it a leading center of economic activity in the region.

The cultural richness of Ciudad del Este is evident in its diverse communities. Although the city has been a center of cultures due to its intense commercial activity,

it also harbors a fascinating blend of indigenous and foreign traditions. Immigrant communities from various countries such as Lebanon, China, Korea, among others have left their mark on the city, contributing to an enriching cultural experience.

Garden City

Ciudad del Este is often called “the Garden City” because of its vegetation in the urban area, although the city’s growth has been reducing its green areas. It is located within the “Atlantic Forest of Alto Paraná,” the region’s and Paraguay’s most biodiverse ecoregion, characterized by dense forests

and high humidity throughout the year. Due to the city’s development, many of these trees were deforested.

It borders Minga Guazú to the west, Hernandarias to the north, Los Cedrales and Presidente Franco to the south, and the Paraná River to the east, which separates the city from Foz do Iguaçu, Brazil. It is part of the area known as the Triple Frontier, where Paraguayan sovereignty contacts that of Brazil—in Foz do Iguaçu—and with the sovereignty of Argentina—in Puerto Iguazú. It is located 13 km from the famous Iguazú Falls, one of the wonders of the world.

Despite its bustling commercial environment, the city also boasts incredible architecture and urban spaces that are a testament to growth and sustainable development. Parks, squares, and green areas offer escape places for residents and visitors, providing a bal-

ance between nature and urbanity. The Botanical Garden and the Monday Falls Park are prominent examples of the natural beauty surrounding the city.

Renowned academic institutions contribute to the education of professionals in various disciplines, fostering scientific and technological research, becoming a hub for intellectual development in Paraguay.

The city celebrates cultural

events throughout the year that reflect its diversity. Festivals, fairs, and traditional celebrations allow residents and visitors to immerse themselves in the rich cultural heritage. These events not only promote inclusion but also bring people together in the city.

Hydrography

The Paraná River borders the city to the east. The district is also surrounded by the Acaray River to the

north, which forms the border with the Hernandarias district, while to the southwest, it is surrounded by the Monday River, separating it from the municipality of Los Cedrales. In the city, there are also other streams, lakes, and bridges.

Economy

Ciudad del Este plays a fundamental role in Paraguay’s economy. Its strategic location in the triple frontier has made it a vital connection

The cultural wealth of Ciudad del Este is manifested in its diverse communities.

point for international trade. The city acts as a commercial hub for electronics, textiles, among others. The economic activity generated in Ciudad del Este significantly contributes to the country’s Gross Domestic Product (GDP), creating employment opportunities and attracting foreign investments.

The Free Trade Zone has been a key factor in its commercial success. It is a taxfree area that has attracted international companies and fostered the establishment of numerous businesses.

Ciudad del Este has become a magnet for international buyers seeking competitively priced products. The city prides itself on being a center of unrestricted trade, where product diversity and price competitiveness are the main attractions.

Points of Interest

Lake of the Republic: located near the city center, it is a lake surrounded by vegetation which uses the wa -

ters of the Amambay stream and has a recreational space equipped with an outdoor amphitheater that offers the community a public place to enjoy artistic and cultural events.

El Mensú Museum: the venue displays collection works as well as objects of historical value used during the early years of the city, including equipment, tools, old photographs, and ethnohistorical elements of the indigenous people who inhabited the surroundings before the 1950s.

Itaipú Dam: located 20 km to the north, in the Hernandarias district, it is one of the largest hydroelectric power plants in the world.

Monday Falls: it has similar characteristics to the Dettifoss Falls, with a width of 120 meters and 3 main drops of 40 meters each.

Moisés Bertoni Scientific Monument: it is a protected area where the house in

which this wise man conducted his botanical research and publications is located.

Hernandarias Riverside: a recreational space, inaugurated in 2018, is the first municipality in Alto Paraná to have a riverside.

Iguazú Falls: located 20 km to the east are the majestic falls between the borders with Argentina and Brazil.

In conclusion

Ciudad del Este has evolved from a small border city to a bustling commercial center that attracts visitors and entrepreneurs from around the world. Its rich history, vital role in the Paraguayan economy, and international allure make this city a unique phenomenon in South America. As it faces its challenges, Ciudad del Este is called to remain a focal point on the map of global trade, maintaining its position as an economic engine for the country.

A NEW MILESTONE

Spraytec launches its grain exchange plan in Argentina!

By: Hernán Waksman Exchange Manager at Spraytec

In the context of the sustained growth that Spraytec has been experiencing in the region, consolidating itself as a leader in the market of phytostimulants and foliar nutrients, we are launching our grain exchange plan for Argentina.

Why a new milestone and why now?

We consider it a new milestone for the company because we are adding a new payment and financing tool for our customers, where the products being exchanged are related to our activity, and historically, grains have been the natural currency of exchange for Argentine agricul-

tural producers. We believe that the launch of our new exchange business unit places us in a different position, further consolidates us in the market, opens up a new stage of conversation with our customers, and puts us on par with the country’s leading laboratories.

It is now because we are arriving at the right time, where

IN THE COMPANY

the company has a considerable business volume that requires new tools, and because we see that the sector is facing a scenario of high level of uncertainty, in a context of rising interest rates where the incentive to resort to bank credit decreases, very tight margins for the new campaign, and not forgetting the historic drought of the past campaign that affected the working capital of producers and actors in the chain in general.

Thus, faced with the little or non-existent possibility of accessing sufficient credits at competitive rates, exchange rate volatility, VAT withholdings whose refund may be delayed over time with the

consequent devaluation of said tax credits, and exposure to devaluation between the moment of sale and price perception, the producer is willing to purchase inputs, capital goods, and services that can be paid for by the physical delivery of grains originated from their own production.

Logically, in the face of economic and exchange rate events that cyclically repeat in Argentina, the agricultural producer resorts to “exchange” as a defense against macro variables that may impact their economy. This is why over time, this modality of grain sales has been maintained, which has become an efficient financing and tax planning tool for the sector.

Some data on how producers finance their crops in Argentina:

Taking into account that in each productive campaign millions are invested at risk without having certainty about climatic, economic, geopolitical, global supply and demand variables, among others; and that naturally in the agricultural sector, expenditures must be made many months in advance of the moment of receiving income from the sale of grains, financing is a fundamental variable.

We are talking about more than $15 billion dollars annually in total investment at the national level, of which, on av-

erage in the last campaigns, 30% was financed with own capital, while the remaining 70% comes from third-party financing. Of the over $10.5 billion dollars that agricultural producers seek as financing in the market, 20% corresponds to bank loans, 5% comes from financing in the MAV (Argentine Stock Market), and the remaining 70% corresponds to commercial loans, meaning the financing provided by all actors in the agricultural chain. Between input suppliers and traders, we finance 40% of these commercial loans.

Regarding exchange operations, according to data collected from information provided by the Rosario Stock Exchange, during 2023, 4% of the final transactions (agreed upon with exporters and industrialists) were of this nature, representing a 47% increase compared to exchange transactions arranged in 2022. Financing through payment in kind would have amounted to more than 2.4 billion dollars.

We dive into the Argentine agricultural exchange

The exchange is a tool that agricultural producers have employed for generations. Unlike what may occur in other regions, such as the USA where this tool is practically not used and the farmer usually pays everything in cash, in Argentina, it gained traction starting from the first decade of this century when significant changes occurred in Argentine agricultural production, including reforms in the marketing system, the reinstatement of export taxes, technological advances and greater global integration that affected the price formation process in the sector.

Concepts to take into account

The exchange in Argentina does not have a specific classification in legal and regulatory terms. There is no particular law that defines and regulates its conditions and procedures in detail. The exchange is an innominate contract, in which the will of the parties prevails.

There is agricultural exchange when the inputs, capital goods, locations and provision of services acquired by the producer are subsequently paid for through the delivery of primary products. Primary products are understood to be those that have not undergone any transformation process. Payment in kind seeks to balance the measurable value of goods, thus avoiding monetary payments.

There are different types of exchange operations:

• Closed exchanges and open exchanges: In the first type, the quantity of inputs to be received by the producer is set, and they commit to delivering a certain amount of grains. On the other hand, in the second type, the total amount of money to be paid for the acquired input is set, and the producer commits to delivering the amount of grains necessary to cover the specified amount of money.

• Available exchanges and deferred exchanges: In the first type, the producer withdraws inputs by simultaneously delivering the physical quantity of grains. In the second, he withdraws inputs by making payment through the delivery of grains at harvest.

Unlike what was initially ex-

pressed regarding the classification of exchange, both the VAT law and some provincial tax codes have expressly regulated exchange operations, taking into consideration their particularities and those of the agricultural activity itself.

For deferred exchange operations, the VAT law deviates from the general moments established for the occurrence of the taxable event, allowing its deferral until the moment when the primary products are delivered. In contrast, it implements a system of withholdings on the invoice of the input according to the producer’s SISA category.

Regarding income tax, the exchanger does not withhold this tax on the Gross Income Payment (LPG) or Gross Sales Payment (LSG) of the client, but the client must make a self-withholding

if required according to SISA. In this case, it will remain as an advance payment or freely available balance.

Regarding the gross income tax: the exemption from the operation will depend on the jurisdiction where the establishment where the producer carries out the production is located, so it may be exempt from tax on sales of own production (for example, in the provinces of Córdoba and Santa Fe), and the exchanger at the time of the sale of primary products will depend on the jurisdiction of the Agreement in which it is registered and the unified coefficient that corresponds to it.

In all cases, if the payment is total, all the tax benefits that we detail will be obtained, not being exactly the case when the payment in kind is partial.

Benefits for the Agricultural Producers:

• Financing tool that avoids withdrawing funds from the activity.

• Savings on bank debit and credit taxes.

• Avoids tax withholdings on Gross Income Payments (LPG), reducing the accumulation of tax balances.

• Better business conditions, competitive commissions and logistics to multiple destinations.

• In available deliveries, the possibility of withdrawing inputs against the delivery of the grain at a fixed price. In harvest deliveries it allows financing the purchase of the input, avoiding managing credits at high financing rates.

• Savings in marketing expenses.

Benefits for the exchanger:

• 100% deferral of VAT on the input invoice. Applies to total exchange.

• In case of being excluded from the VAT withholding regime, it is possible to manage the non-withholding in the Gross Sales Payment (LSG) with the grain buyer.

• Coverage against exchange rate devaluation in contexts of exchange rate volatility.

• Financing alternative in the absence of financing lines at competitive rates.

• Savings in marketing expenses.

• Facilitates the collection of overdue or upcoming debts.

Our proposalCharacteristics of the Spraytec Exchange Plan

We aim to make this tool a competitive option as a new payment method for our customers, where all actors benefit and can interact in a simple and easy way, giving Spraytec a new efficient collection channel.

On 03/06/2024, during Expoagro 2024, we launched the “Spraytec Exchange Plan” at our booth with the presence of clients, friends, and journalists. The launch took place during a day of releases that we called “Sprayday.” With great joy, we also launched a new product called “Tractus Kit” and offered a grain market talk by Engineer Pablo

Adreani.

During the event, we explained the benefits of the tool and why our exchange plan will be simple and competitive. At the same time, we presented different business proposals with important discounts on grains that were very well received by our customers. The bonuses remained valid during the week of Expoagro.

For the 23/24 campaign we have set the goal that 25% of our turnover to be collected with grains through our exchange plan.

Faithful to our slogan “once, always”, we will work tirelessly and professionally to ensure that every customer who joins in to exchange is satisfied with the value proposition.

Spraytec

SNAPSHOTS