Oats market in MERCOSUR

Earlier Report Observations

The oat market in MERCOSUR grew consistently from 2018 to 2022, with production climbing from 1.44 million tons to 2.05 million tons. This expansion was driven by rising health consciousness among consumers, who increasingly sought out plant-based and gluten-free foods like oats. The COVID-19 pandemic amplified this trend in 2019 and 2020, as lockdowns led to more home cooking and greater demand for nutritious staples.

New oat processing facilities, such as those built by Avena Foods Limited in 2020, expanded production capacity to meet the growing demand. The market also benefited from the expansion of distribution channels and a surge in popularity of convenient, ready-to-eat oat products through 2021 and 2022. Progress on regional trade agreements, including negotiations with the European Union, improved market access and competitiveness for Mercosur oat producers.

After years of growth, oat production fell sharply to 1.37 million tons in 2023. Despite the implementation of new free-trade agreements and the ratification of Bolivia's full membership in Mercosur that year, the market contracted significantly. In 2024, factors like sustained health awareness, demand for vegan products, and tariff reductions from recent trade deals continued to shape the market environment.

Production oats in MERCOSUR

In kind, 2017-2020, K t

Top producers of oats, 2017-2020

World map of production of oats, 2017-2020

MERCOSUR's oats production has increased for the third consecutive year. In 2020, the region produced 1 544 thousand tonnes of oats, showing minimal change compared to 2019. Over the period from 2017 to 2020, production grew by 7%, with an average annual growth rate of 2.3%.

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

Exports oats from MERCOSUR

Exports in kind, t

The data shows irregular changes, reflecting a volatile market environment. Exports reached their lowest point in 2017 and peaked in 2020, with a 2.6-fold difference between these years. In 2020, MERCOSUR exported 8 652 tonnes of oats, marking a sharp increase of 144.2% compared to the previous year. The largest decline occurred in 2019, at 1.9%.

Annual dynamics of product's exports from MERCOSUR in kind, 2017-2020, t

The structure of exports in kind from 2017 to 2020 was diversified. Chile accounted for 10.4% of exports in kind, South Africa for 7.7%, and Germany for 7.6%. Together, these three countries represented just 25.6% of total flows, with no single country holding a clearly dominant position.

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

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

Exports in value, K $ US

Oats exports from MERCOSUR have increased for the third consecutive year. In 2020, the region exported 3 583 thousand US dollars worth of oats, showing a significant rise of 26.1% compared to the previous year. Between 2017 and 2020, exports grew by 103.2%, equivalent to an annualized rate of 26.7%.

Annual dynamics of product's exports from MERCOSUR in value, 2017-2020, K $ US

From 2017 to 2020, Japan, Germany, and South Africa played notable but not dominant roles as buyers of oats from MERCOSUR in value terms. Japan accounted for 16.4% of exports in value, Germany for 14.3%, and South Africa for 10.6%. Their combined share reached only 41.3% of total exports in value.

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

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

Imports oats to MERCOSUR

Imports in kind, t

There were noticeable fluctuations in market performance during this period. Import volumes varied 3.9 times, from a low in 2020 to a high in 2018. In 2020, MERCOSUR received 1 089 tonnes of oats, which was 49.5% lower than the previous year. The maximum volume was recorded in 2018 at 4 220 tonnes, with the largest increase also occurring in 2018 at 230.4%.

Annual dynamics of product's imports to MERCOSUR in kind, 2017-2020, t

Over the period from 2017 to 2020, Chile and Japan consistently accounted for the largest share of imports in kind of oats to MERCOSUR, together representing 6.2% of total flows.

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

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

Imports in value, K $ US

The data reveals irregular changes, indicating a volatile market environment. Import levels fluctuated 2.7 times between the low in 2020 and the high in 2018. In 2020, MERCOSUR imported 550 thousand US dollars worth of oats, down by 42.2% compared to the previous year. The maximum value was recorded in 2018 at 1 503 thousand US dollars, with the largest increase also in 2018 at 157.4%.

Annual dynamics of product's imports to MERCOSUR in value, 2017-2020, K $ US

From 2017 to 2020, three main markets—Chile, Japan, and France—together absorbed 14.0% of total imports in value terms of oats to MERCOSUR.

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

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