• Thu. May 9th, 2024

Yerba Mate Industry Faces Challenges Amid Recession, Disputes and Uncertainty: Overview

BySamantha Nguyen

Apr 27, 2024
Sales decline may lead to price pressure on shelves

In March, there was a significant decrease in the amount of yerba mate shipped from mills compared to the previous year, indicating a contraction of almost 30 percent. This sharp decline in sales to the domestic market was mainly due to the recession and loss of purchasing power among lower-income families who often rely on mate as a meal replacement. Large commercial chains stocking up on yerba mate at the end of last year in anticipation of price hikes also contributed to the decrease in consumption. Despite these challenges, the external market for yerba mate remains strong, with an increase in shipments in the first three months of the year compared to the previous year. The good sprouting from summer rains has accelerated the harvest pace, with a significant increase in green leaf production entering the drying process.

The National Yerba Mate Institute (INYM) is facing uncertainty due to disputes over setting minimum prices for unprocessed yerba mate and lack of a appointed board president by the National Government. This situation has left the market without reference values for green leaf and pistachio, which is causing challenges for herbal producers. Despite promises from government officials about sector deregulation, challenges remain in setting prices for unprocessed yerba mate. Herbalist leaders are calling for action to address this uncertainty and establish necessary pricing structures to support the sector. The delay in regulatory measures has left herbal producers struggling to cover costs amidst uncertain market conditions.

By Samantha Nguyen

As a content writer at newsqwe.com, I am passionate about crafting engaging and informative articles that captivate our audience. With a background in journalism and a keen eye for detail, I strive to deliver content that is not only well-researched but also adds value to our readers' lives. From breaking news stories to in-depth features, I take pride in my ability to tell compelling stories that resonate with our diverse audience. When I'm not typing away at my keyboard, you can find me exploring new cafes, practicing yoga, or getting lost in a good book. I am thrilled to be a part of the newsqwe.com team and look forward to sharing my love for writing with all of our readers.

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