Argentina Soybean Oil Export Market -- HS Code 1507 Trade Data & Price Trend (Jan 2025)

Argentina Soybean Oil Export (HS 1507) Key Takeaways

Argentina's soybean oil exports under HS code 1507 in January 2025 surged to 1.07 billion USD, driven by bulk shipments of crude oil (92% of volume) and strong demand from India, which captured 45.75% of exports. The market is highly concentrated, with a few dominant buyers handling large volumes, creating reliance risks. Prices averaged 2.02 USD/kg, reflecting stable global commodity pricing. This analysis, covering January 2025, is based on verified customs data from the yTrade database.

Argentina Soybean Oil Export (HS 1507) Background

What is HS Code 1507?

HS Code 1507 covers soybean oil and its fractions, whether or not refined, but not chemically modified. This product is a staple in food processing, biodiesel production, and industrial applications, driving consistent global demand due to its versatility and affordability. Argentina, as a leading exporter, plays a pivotal role in supplying both crude and refined soybean oil to international markets.

Current Context and Strategic Position

In January 2025, Argentina reinstated higher export duties on soybean oil under HS Code 1507, raising rates from 26% to 33% to bolster fiscal revenues [FreightAmigo]. Despite this, the country remained India’s top supplier of refined soybean oil, capturing 67% of its import value [ytrade]. Argentina’s strategic significance in hs code 1507 trade data stems from its competitive pricing and alignment with Mercosur trade standards. Market participants must monitor policy shifts closely, as Argentina’s soybean oil export dynamics directly influence global supply chains and pricing trends.

Argentina Soybean Oil Export (HS 1507) Price Trend

Key Observations

Argentina's soybean oil exports under HS code 1507 in January 2025 reached a value of 1.07 billion USD with a volume of 530.94 million kilograms, demonstrating a strong start to the year. This performance underscores the country's pivotal role in global soybean oil trade, with the hs code 1507 value trend reflecting robust export activity driven by high market prices and sustained demand.

Price and Volume Dynamics

The unit price for soybean oil averaged approximately 2015 USD per metric ton in January, indicating favorable pricing conditions that likely contributed to the elevated export value. This solid opening month builds on momentum from late 2024, where stable production and export flows supported Argentina's position, though sequential comparisons are limited without prior monthly data. The high price point aligns with typical industry cycles where post-harvest periods and global stock levels influence market rates, suggesting that supply chain efficiencies and competitive pricing are key drivers.

External Context and Outlook

The strong export performance is partly explained by Argentina's dominance in key markets, such as India, where it held a 67% value share in refined soybean oil imports during January 2025 [ytrade.com]. This demand, coupled with historical export tax frameworks that have shaped Argentina's competitiveness, provided a stable backdrop for January's trends. Looking ahead, monitoring policy shifts and global demand cycles will be crucial, as the Argentina Soybean Oil Export trend remains sensitive to international trade dynamics and agricultural policies.

Argentina Soybean Oil Export (HS 1507) HS Code Breakdown

Product Specialization and Concentration

In January 2025, Argentina's export under HS Code 1507 is dominated by crude soybean oil, specifically the sub-code for crude, degummed or not. According to yTrade data, this product accounts for over 92% of both value and weight, with a unit price of 2.02 USD per kilogram. This high concentration shows a strong focus on bulk, unrefined exports.

Value-Chain Structure and Grade Analysis

The remaining exports are split into refined or further processed soybean oil variants, with unit prices ranging from 1.84 to 2.46 USD per kilogram. This structure indicates a trade in fungible bulk commodities, where products are largely standardized and likely tied to global price indices, with minimal differentiation beyond basic refining stages.

Strategic Implication and Pricing Power

For market players, the commodity nature of HS Code 1507 exports from Argentina means limited pricing power for individual sellers, as prices are influenced by external market forces. Strategic focus should remain on cost efficiency and volume management to compete effectively. Analyzing HS Code 1507 trade data confirms this bulk-oriented approach.

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Argentina Soybean Oil Export (HS 1507) Destination Countries

Geographic Concentration and Dominant Role

INDIA is the key destination for Argentina's Soybean Oil exports in January 2025, holding 45.75% of the value share and 45.87% of the weight share. The nearly equal value and weight ratios point to bulk shipments of standard-grade oil. The frequency share of 15.71% is lower, indicating fewer but larger consignments. Other partners like Bangladesh and Peru show similar balanced shares, suggesting consistent demand for bulk soybean oil.

Destination Countries Clusters and Underlying Causes

The top importers fall into two clear clusters. The Bulk Buyers group includes India, Bangladesh, Peru, and Pakistan, with high and matched value and weight shares, driven by strong industrial or consumer demand for large volumes. The High-Frequency cluster centers on Chile, with a frequency share of 41.67% far exceeding its value share of 3.04%, signaling many small shipments, possibly of refined or specialty oil due to value slightly outweighing weight. The remaining countries form a Minor Importers cluster with small, balanced shares.

Forward Strategy and Supply Chain Implications

Argentina should prioritize securing long-term bulk contracts with major buyers like India and optimize logistics for frequent shipments to Chile. Argentina's dominance in supplying refined soybean oil to India, as reported by [YTrade], underscores the value of targeting premium markets. Enhancing supply chain efficiency for high-volume routes can maintain competitiveness in HS Code 1507 trade.

Table: Argentina Soybean Oil (HS 1507) Top Destination Countries (Source: yTrade)

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Argentina Soybean Oil (HS 1507) Buyers Analysis

Buyer Market Concentration and Dominance

Argentina's Soybean Oil Export buyer market in January 2025 shows a concentrated structure. According to yTrade data, one group of high-value, high-frequency buyers dominates the trade volume and value. These buyers represent the typical trade pattern for Argentina Soybean Oil Export, handling large, regular shipments that form the market's core.

Strategic Buyer Clusters and Trade Role

The remaining three segments of buyers include high-value but less frequent purchasers, along with smaller, regular buyers and occasional, low-volume importers. The profile of HS code 1507 buyers indicates this is an intermediated market, where trading firms and large agribusinesses control most flows. These dominant players act as centralized agents, managing distribution to downstream manufacturers or other markets.

Sales Strategy and Vulnerability

For Argentine exporters, the buyer structure means focusing on relationships with major trading partners to secure stable demand. However, reliance on a few large buyers creates vulnerability to shifts in global demand or policy changes. Recent duty suspensions on some grains until October 2025 may offer temporary relief, but the broader export tax environment requires careful monitoring [FreightAmigo]. Sales efforts should prioritize maintaining high-volume contracts while diversifying into emerging buyers to reduce concentration risk.

Check Full Soybean Oil Buyer lists

Action Plan for Soybean Oil Market Operation and Expansion

Strategic Supply Chain Overview

Argentina's Soybean Oil Export market operates as a bulk commodity trade. Prices are driven by global indices and basic quality grades. The hs code 1507 trade data confirms limited pricing power for individual sellers.

Supply chain implications are significant. Argentina's role is as a bulk processing and export hub. The Soybean Oil supply chain must prioritize high-volume logistics to major buyers. Heavy reliance on concentrated markets like India creates vulnerability to demand shifts.

Action Plan: Data-Driven Steps for Soybean Oil Market Execution and Expansion

• Use hs code 1507 trade data to identify and target emerging high-value buyers. This diversifies your client base away from the dominant bulk importers and builds a more resilient sales portfolio.
• Analyze shipment frequency data to Chile to optimize logistics for small, frequent consignments. This captures value in the high-frequency trade segment and improves supply chain flexibility.
• Monitor global soybean oil price indices and Argentine export policy announcements weekly. This allows for proactive price hedging and protects against sudden cost increases or tax changes.
• Segment buyers by purchase volume and frequency to create tailored commercial strategies. This ensures resource allocation prioritizes high-value, reliable partners while efficiently managing smaller accounts.

Take Action Now —— Explore Argentina Soybean Oil Export Data

Frequently Asked Questions

Q1. What is driving the recent changes in Argentina Soybean Oil Export 2025 January?

Argentina's soybean oil exports surged in January 2025, reaching 1.07 billion USD, driven by high global prices (averaging ~2015 USD/ton) and strong demand from key markets like India. The bulk-oriented, standardized nature of the trade ensures stable flows but limits pricing power.

Q2. Who are the main destination countries of Argentina Soybean Oil (HS Code 1507) 2025 January?

India dominates with 45.75% of export value, followed by Bangladesh and Peru. These bulk buyers account for most shipments, while Chile stands out for frequent small consignments (41.67% frequency share).

Q3. Why does the unit price differ across destination countries of Argentina Soybean Oil Export?

Price variations stem from product grade: crude soybean oil (92% of exports) trades at 2.02 USD/kg, while refined variants range from 1.84–2.46 USD/kg. Bulk shipments to India command lower unit prices than Chile’s smaller, possibly premium, orders.

Q4. What should exporters in Argentina focus on in the current Soybean Oil export market?

Exporters must prioritize high-volume contracts with dominant buyers (e.g., India) while diversifying to mitigate reliance on a few trading firms. Cost efficiency and logistics optimization for bulk routes are critical.

Q5. What does this Argentina Soybean Oil export pattern mean for buyers in partner countries?

Major buyers like India benefit from stable bulk supply but face commodity-driven price volatility. Smaller importers (e.g., Chile) gain flexibility with frequent shipments, though at potentially higher unit costs.

Q6. How is Soybean Oil typically used in this trade flow?

Argentina primarily exports crude, degummed soybean oil (92% of volume) for industrial refining or food processing abroad. The standardized bulk shipments cater to large-scale manufacturers and commodity traders.