Argentina · Country watch

Argentina's Country Risk Soars; Mercosur-UE Deal Advances

Argentina's country risk jumps to 927 points, while the Mercosur-EU deal promises tariff-free access for 70% of Argentine agricultural exports.

Florent Kalfon · 5 November 2026 · 13 articles read

The picture Deteriorating How this is judged →

Business conditions in Argentina are deteriorating as the country risk index jumps to 927 points, raising borrowing costs. However, the Mercosur-EU deal offers potential relief for exporters.

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In this briefing Marcos Martínez · Sidra Rama Caída · Argentina · JP Morgan · Agustín Tejeda · Mercosur · European Union

Companies

Retail

Sidra Rama Caída enters bankruptcy proceedings

Wine bottles stored in a cellar with chalkboards — Joao Vitor Marcilio / Unsplash

Sidra Rama Caída, a historic cider producer in Argentina, has entered bankruptcy proceedings after accumulating over 800 rejected checks totaling more than $2.1 billion, reports Ambito.com. The Mendoza court initiated the process following a filing by the company's president, Marcos Martínez. The firm aims to reorganize its debts, and creditors have until February 2027 to verify their claims.

Impact Creditors of Sidra Rama Caída face uncertainty as the company undergoes bankruptcy proceedings.

Sources: Ambito.com ↗

Markets

Finance

Argentina's country risk surges to 927 points

Argentina's country risk index rose sharply to 927 points, marking its highest level in over a year, according to El Dia. The JP Morgan index increased by 75 points, reflecting growing investor concerns about Argentina's economic stability. This rise in country risk has also led to a decline in bond values, with some bonds dropping by as much as 3%. The increase in risk perception is attributed to uncertainties surrounding the economic plans of Finance Minister Luis Caputo and President Javier Milei.

Impact Lenders to Argentina face higher risk premiums as the country risk index climbs to 927 points.

Sources: El dia ↗

Trade

Agriculture

Mercosur-EU deal grants tariff-free access to 70% of exports

The provisional application of the Mercosur-European Union trade agreement will allow 70% of Argentine agricultural exports to enter the EU with zero tariffs, according to Todo Agro. Agustín Tejeda, Argentina's Undersecretary of Agri-food Markets and International Integration, highlighted the positive outlook for Argentine exports under this agreement. The deal includes phased tariff reductions for other products, enhancing Argentina's competitive position in the European market.

Impact Argentine agricultural exporters gain competitive advantage with tariff-free access to the EU for 70% of their products.

Sources: Todo Agro ↗

Nothing significant reported today in Regulation · Disruption · Internal tension · Safety & health · Politics.