Argentinian vineyards are all set for the 2021 Crop. The harvest will begin by the second week of February. Processors are doing the last preparation works to set the grape crushing up. It seems to be good weather this time and the different varieties are ripening in normal shape.
The local market is questioning where the price point of the grapes will be placed. There was an interesting December grape juice exports showing that the normal annual carry over, this time will be low. The operational costs in USD of the growers have also been increased.
The main five juice processors have not been started yet to make offers of 2021 product, but the big wineries are pushing their positions to gain suppling for their purposes.
Economically speaking there will be legislative elections by Q4, the government will try to push the exchange rate at similar levels along the year, while inflation is pushing up the price of the goods. This is bad for all the players in the supply chain, but especially for the exporters.
As the COVID-19 situation is still prevailing, Argentinians are living a more normal Q1 2021, but the 2nd wave has appeared and in some sectors there are some concerns about harvest workers availability.