Domestic starches have had to face pro-subsidy policies by
the European Union which have eased the way for potato starch
into the Argentine market at very low prices. The same has
happened with wheat starch and wheat gluten also produced
in Europe.
In the particular case of wheat gluten, after almost 2 years
of administration, Argentine authorities have finally decided
to apply an additional anti-subsidy import duty to smoothe
the situation for domestic gluten production.
Other significant sources of starch are the large quantities
of Mandioca starch that enter Argentina from Brazil.
Potato starch is not produced in Argentina, yet a small quantity
of Mandioca starch is produced in the province of Misiones,
but this latter production is practically local craftsman
production. Both products can, under equal conditions, substitute
starches being produced by our sector. Nonetheless the total
market penetration of these two items constitutes 10 to 15%
of all the starch used in Argentina.
Regarding modified starches, new demands have lead to the
development of new products that are preponderantly covered
by the domestic starch marketplace. However a very limited
amount of types of starch continue to be imported.
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