Maize flour and cereals market in South America

Earlier Report Observations

From 2018 to 2020, the maize flour and cereals market in South America saw steady growth, with market volume rising from 11.2 million tons to 11.2 million tons. This period was supported by increased corn exports from Argentina and the concentration of production among large processors. In 2019, the entry of new mills and expanded global production capacity, such as the opening of McHargue's Mill in the U.S. and Bunge's acquisition of Minsa's corn mills, boosted output. The COVID-19 pandemic in 2020, with eased lockdowns, further accelerated market growth as promotional initiatives raised awareness of precooked maize flour's nutritional benefits.

The market expanded significantly in 2021 and 2022, reaching 12.2 million tons by 2022. In 2021, despite a drought that limited early corn yields, Argentina's planted area for corn hit a record 7.9 million hectares, driving production higher. Global demand for healthy food options, including maize flour for breakfast and ready-to-eat products, continued to rise. By 2022, consumer interest in organic and gluten-free maize flour varieties spurred new product segments like blue corn flour and stone-ground meals, while Mexico emerged as a leading global exporter, influencing supply chains.

In 2023, the market volume declined to 12.0 million tons, with production also dropping to 12.0 million tons. This contraction followed the previous years' growth.

Production maize flour and cereals in South America

In kind, 2017-2020, K t

Top producers of maize flour and cereals, 2017-2020

World map of production of maize flour and cereals, 2017-2020

After two years of growth, maize flour and cereals production in South America declined. In 2020, production remained stable year-over-year at 11,307 thousand tonnes. Over the 2017-2020 period, production increased by 3.7%, with a compound annual growth rate of 1.2%. The highest production level was recorded in 2019 at 11,318 thousand tonnes, while the largest annual increase occurred in 2018 at 2.3%.

Annual dynamics of production in South America in kind, 2017-2020, K t

Exports maize flour and cereals from South America

Exports in kind, K t

Exports of maize flour and cereals from South America increased for the second consecutive year. In 2020, exports reached 202.3 thousand tonnes, representing a sharp year-over-year increase of 27.8%. Between 2017 and 2020, exports decreased by 13.9%, equivalent to an annualized decline of 4.9%. The lowest export volume was recorded in 2018 at 141.9 thousand tonnes, which also saw the largest decline of 39.6%.

Annual dynamics of product's exports from South America in kind, 2017-2020, K t

From 2017 to 2020, Angola (56.2% of exports in kind), the Democratic Republic of the Congo (7.3%), and Panama (1.8%) were the main export markets, collectively accounting for 65.4% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from South America in kind, 2017-2020

Exports in value, M $ US

The market exhibited significant volatility during this period. Exports reached their lowest point in 2018 and peaked in 2020, with a 1.9-fold difference between these years. In 2020, South America's maize flour and cereals exports amounted to 118.5 million US dollars, representing a substantial 74.9% increase compared to the previous year. The minimum value was recorded in 2018 at 63.4 million US dollars, which also saw the largest decline of 26.2%.

Annual dynamics of product's exports from South America in value, 2017-2020, M $ US

Between 2017 and 2020, South American maize flour and cereals were exported to numerous markets. Even the largest destinations—Angola, the Democratic Republic of the Congo, and Panama—together accounted for only 46.2% of total export value.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from South America in value, 2017-2020

Imports maize flour and cereals to South America

Imports in kind, K t

Import volumes showed an unstable trend throughout the period. Imports reached their lowest point in 2019 and peaked in 2018, with a 3.3-fold difference between these years. In 2020, South America's maize flour and cereals imports totaled 117.0 thousand tonnes, reflecting a significant 108.5% increase compared to 2019. The minimum value was recorded in 2019 at 56.1 thousand tonnes, while the maximum was in 2018 at 185.8 thousand tonnes. The largest decline occurred in 2019 at 69.8%, and the largest increase was in 2018 at 149.0%.

Annual dynamics of product's imports to South America in kind, 2017-2020, K t

From 2017 to 2020, import sources remained diverse. Mexico (44.1% of imports in kind), the United States (4.4%), and Turkey (0.8%) together accounted for 49.3% of total import flows, with no single partner dominating the market.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to South America in kind, 2017-2020

Imports in value, M $ US

The data reveals irregular changes, indicating a volatile market environment. Imports reached their lowest point in 2017 and peaked in 2018, with a 2.4-fold difference between these years. In 2020, South America's maize flour and cereals imports were recorded at 87.6 million US dollars, up 75.1% compared to the previous year. The maximum value was recorded in 2018 at 106.9 million US dollars. The largest decline occurred in 2019 at 53.2%, while the largest increase was in 2018 at 135.8%.

Annual dynamics of product's imports to South America in value, 2017-2020, M $ US

Between 2017 and 2020, three main markets—Mexico, the United States, and Italy—collectively absorbed 45.3% of total import value for maize flour and cereals in South America.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to South America in value, 2017-2020