Raw or retted, not spun flax market in South America

Earlier Report Observations

From 2018 to 2023, the South American market for raw or retted, not spun flax demonstrated notable stability, with annual volumes hovering between 5 643 t and 5 700 t. The market was entirely supplied by domestic production, as trade flows were negligible. In 2020, the sector faced pressure from high production costs, with flax processing reported to be 31% more expensive than cotton, which constrained more significant market growth during that period.

Technological improvements in retting, cutting, and spinning machinery introduced from 2021 increased processing efficiency by 33%, helping to offset the elevated cost structure and supporting a slight expansion in market volume. This was complemented by growing global demand for breathable linen fabrics, which influenced regional trends. Market size remained steady through 2022 and saw a marginal uptick to 5 700 t in 2023.

In 2024, a severe drought in Argentina—the driest in 21 years—led to a 43% contraction in the area sown with flax, significantly threatening local production. Unattractive pricing and the substitution of industrial flax oil by synthetic petroleum derivatives further discouraged producers. Processing capacity in the region remained concentrated, with Argentina's sole active processor, CIDA, capable of handling 100 t daily for industrial uses.

Production raw or retted, not spun flax in South America

In kind, 2017-2020, t

Top producers of raw or retted, not spun flax, 2017-2020

World map of production of raw or retted, not spun flax, 2017-2020

In South America, production of raw or retted, not spun flax remained relatively stable in recent years. The lowest output was recorded in 2019 at 5,643 tonnes, followed by a slight increase to 5,659 tonnes in 2020. The highest production level was achieved in 2018 with 5,672 tonnes. The most significant decline occurred in 2019, when production fell by 0.5%, while the largest increase of 0.4% was observed in 2018.

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

Exports raw or retted, not spun flax from South America

Exports in kind, kg

South America's exports of raw or retted, not spun flax showed only marginal fluctuations between 2019 and 2020, with 141.0 kilograms exported in 2020. Over the three-year period from 2018 to 2020, exports decreased by 31.5%, representing an average annual decline of 11.8%.

Annual dynamics of product's exports from South America in kind, 2017-2020, kg

From 2017 to 2020, Panama dominated South America's exports of raw or retted, not spun flax in volume terms, accounting for 70.9% of total flows. Other trading partners held relatively minor shares during this period.

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, $ US

In 2020, South America's exports of raw or retted, not spun flax were valued at 8,370 US dollars, showing little change from the previous year. Between 2018 and 2020, export values increased dramatically by 1,147.4%, which translates to an average annual growth rate of 131.9%.

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

During the 2017-2020 period, South America's exports of raw or retted, not spun flax in value terms were primarily directed toward the Dominican Republic and Spain. Together, these two destinations accounted for 90.5% of total export value, with other markets playing a secondary role.

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 raw or retted, not spun flax to South America

Imports in kind, kg

South America's imports of raw or retted, not spun flax showed significant fluctuations between 2019 and 2020. The lowest import volume was recorded in 2019, followed by a substantial increase to 45.2 kilograms in 2020, representing a year-over-year surge of 1,458.6%. Overall, import levels varied by a factor of 16 between these two years.

Annual dynamics of product's imports to South America in kind, 2017-2020, kg

From 2017 to 2020, China and the United States were the main sources of raw or retted, not spun flax imports to South America in volume terms, together accounting for 95.6% of total imports. The remaining share was distributed among other countries with smaller individual contributions.

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, $ US

In 2020, South America's imports of raw or retted, not spun flax were valued at 3,286 US dollars, reflecting a substantial increase of 564.2% compared to the previous year. Between 2017 and 2020, import values grew by 1,693.5%, equivalent to an average annual growth rate of 161.8%.

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

Over the 2017-2020 period, China was the dominant supplier of raw or retted, not spun flax to South America in value terms, accounting for 82.9% of total imports. Other countries shared the remaining import volume.

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

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