Economy of Argentina

Argentina is one of the world's leading agricultural producers, excelling in the production and export of beef, citrus fruits, grapes, honey, maize, sorghum, soybeans, squash, sunflower seeds, wheat, and yerba mate. In 2010, agriculture accounted for 9% of the country's GDP and approximately one-fifth of all exports, excluding processed food and feed, which constitute an additional third. That year, commercial harvests reached 103 million tons, including over 54 million tons of oilseeds (mainly soy and sunflower) and over 46 million tons of cereals (primarily maize, wheat, and sorghum).Fruit and vegetable exports constitute 4% of exports, with notable production areas including the Río Negro valley for apples and pears, the northwest and Mesopotamia for rice and citrus fruits, Cuyo for grapes and strawberries, and the far south for berries. Other major crops include cotton and tobacco in the Gran Chaco, sugarcane and chili peppers in the northwest, and olives and garlic in the west. Yerba mate, tomatoes, and peaches are grown for domestic consumption. Organic farming is expanding, with nearly 3 million hectares (7.5 million acres) under cultivation, second only to Australia. Argentina is also the world's fifth-largest wine producer, with Mendoza being the largest wine region followed by San Juan.

Mining and extractive industries, including gas and petroleum, have grown from 2% of GDP in 1980 to around 4% today. Main mining regions include the northwest and San Juan Province, with coal mining in Santa Cruz Province. Argentina produces a variety of metals and minerals, including borate, copper, lead, magnesium, sulfur, tungsten, uranium, zinc, silver, titanium, and gold. Gold production saw a significant boost from investments in the Bajo de la Alumbrera mine and Barrick Gold. Metal ore exports increased from $200 million in 1996 to over $3 billion in 2010. In 2019, Argentina was the 4th largest world producer of lithium, the 9th largest producer of silver, the 17th largest producer of gold, and the 7th largest producer of boron. The country produces around 35 million m³ of petroleum and petroleum fuels and 50 billion m³ of natural gas annually, making it self-sufficient and generating about 10% of exports. Key oil fields are located in Patagonia and Cuyo, with pipelines transporting products to Bahía Blanca and the La Plata-Greater Buenos Aires-Rosario industrial belt.

According to the World Bank, Argentina had the 31st most valuable industry in 2019, with a total production value of $57.7 billion, ranking behind Mexico, Brazil, and Venezuela but ahead of Colombia, Peru, and Chile. That year, Argentina was the 31st largest producer of steel, the 28th largest producer of vehicles, the 22nd largest producer of beer, the 4th largest producer of soybean oil, and the 3rd largest producer of sunflower oil. Manufacturing is the largest sector in Argentina's economy, contributing 15% of GDP. It is closely linked to agriculture, with half of industrial exports being agricultural. Leading sectors include food processing, beverages, motor vehicles and parts, refinery products, biodiesel, chemicals, pharmaceuticals, steel, aluminum, and industrial and farm machinery. The electronics and home appliances sector also produces a wide range of goods, including big-ticket items and cellular phones.

The service sector is the largest contributor to Argentina's GDP, accounting for over 60%. The sector is diverse, including well-developed social, corporate, financial, insurance, real estate, transport, communication services, and tourism. Telecommunications have been growing rapidly, with 77% of the population having access to mobile phones, 95% of which are smartphones. There are over 32 million internet users, representing 75% of the population, and nearly all 14 million broadband accounts are high-speed. Regular telephone services and mail services are robust, with telecom revenues exceeding $17.8 billion in 2013. E-commerce has been growing, reaching $4.5 billion in sales in 2013. Trade in services showed a deficit, with $15 billion in service exports and $19 billion in imports in 2013. Business Process Outsourcing is a leading service export, generating $3 billion. Advertising revenues from international contracts were estimated at over $1.2 billion.

Argentina's banking sector, with deposits exceeding $120 billion in December 2012, has evolved from public sector banks to being dominated by the private sector. Private banks account for most of the 80 active institutions, holding nearly 60% of deposits and loans. The largest bank is the public Banco de la Nación Argentina, which accounts for 30% of total deposits and a fifth of the loan portfolio. Credit in Argentina remains relatively tight, despite lending increasing by 40% annually since 2004 and delinquencies falling below 2%. Credit outstanding to the private sector is slightly below its 1998 peak in real terms and is low by international standards at around 18% of GDP.

In 2017, tourism generated over $22 billion, or 3.9% of GDP, and employed more than 671,000 people. Foreign tourism contributed $5.3 billion, making it the third-largest source of foreign exchange in 2004. Argentina saw 5.7 million foreign visitors in 2017, a significant increase since 2002. Domestic tourism has also grown, with over 80% of tourism activity being local. Foreign tourism has increased, with INDEC recording 5.2 million foreign tourist arrivals and 6.7 million departures in 2013. The majority of visitors arrived from Brazil, Europe, the United States and Canada, Chile, and the rest of the Western Hemisphere. Cruise liner arrivals have grown significantly, with 160 liners carrying 510,000 passengers arriving in Buenos Aires in 2013.

Argentina's electricity generation totaled 133.3 billion kWh in 2013, making it the third-largest power market in Latin America. The country's electricity mainly relies on natural gas (51%), hydroelectricity (28%), and oil-fired generation (12%). Argentina holds the world's third-largest reserves of unconventional shale gas and tight oil. In 2017, Argentina was the 18th largest producer of natural gas and the largest in Latin America. In 2020, it was the 28th largest oil producer. Wind and solar energy potential remain largely untapped, with wind energy being the fastest-growing new renewable source. Argentina has developed 15 wind farms since 1994 and aims to expand solar capacity from 6 MW to 300 MW, and total renewable energy capacity from 625 MW to 3,000 MW. By the end of 2021, Argentina ranked 21st globally in installed hydroelectric power (11.3 GW), 26th in wind energy (3.2 GW), and 43rd in solar energy (1.0 GW).

Argentina's transport infrastructure is advanced compared to the rest of Latin America. The country has over 230,000 km (144,000 mi) of roads, including 72,000 km (45,000 mi) of paved roads and 2,800 km (1,700 mi) of expressways. The railway network spans 37,856 km (23,523 mi), though it peaked at 47,000 km (29,204 mi). Most intercity passenger services have been terminated since 1992, leaving Buenos Aires with extensive commuter rail services and the Buenos Aires Underground. Argentina's infrastructure includes 38 airports with paved runways and over 700 with unpaved runways. Its ports and waterways are significant, with the Paraná River system being a major route for freight.

Education in Argentina is free at all levels, including university education. The country has a literacy rate of 99.1% and a gross enrollment rate of 96% for primary education. Argentina is ranked 29th in the world for the quality of its higher education system. The country's universities are among the most prestigious in Latin America.

Argentina's health care system includes a mix of public and private providers. Public health care is free for all residents. The country has a life expectancy of 76.5 years and an infant mortality rate of 9.7 per 1,000 live births. Argentina's health care system is one of the best in Latin America, with well-trained professionals and advanced medical facilities.