UPDATE 3-Argentina revives 'soy dollar' FX rate until year-end to boost reserves

(Adds economy minister confirmation, quote)

By Eliana Raszewski

BUENOS AIRES, Nov 25 (Reuters) - Argentina on Fridayannounced a more generous exchange rate for U.S. dollars broughtin through soy exports until the end of the year, seeking to revup exports of its top cash crop and bring much-needed dollars tocentral bank coffers.

The 230 pesos per U.S. dollar exchange rate for soybeans andtheir derivatives will start on Monday, Economy Minister SergioMassa said following a meeting with farm sector leaders.Currently, the official rate hovers around 165 pesos.

"We're doing this with the conviction that by aligningincentives it will allow us to strengthen reserves," said Massa,who anticipated collecting at least $3 billion.

The policy is aimed at encouraging as many Argentines fearfurther weakening of the local currency amid sky-high inflation,and some farmers have preferred to keep soybeans in storageversus selling at unfavorable terms.

Argentina is the world's top exporter of processed soy oiland meal, as well as a major global supplier of corn and wheat.

The country's central bank is looking to bolster itsinternational currency reserves, needed in large part to meetdebt payments.

In September, the government dramatically boosted soyexports with its earlier "soy dollar" policy when exporterscould tap a rate of 200 pesos per dollar, compared to anofficial exchange rate at the time of around 150 pesos perdollar.

The latest "soy dollar" rate includes an inflation update,one source told Reuters.

The September measure brought in almost $8 billion to thecountry, with around $5 billion remaining in central bankreserves.

The latest move generated some opposition from the country'sagricultural sector.

Carlos Achetoni, president of the Argentine AgrarianFederation, said earlier on Friday he would not attend themeeting with Massa, insisting that the government policymakersshould end the proliferation of multiple exchange rates.

"You have to look for a single (exchange) parity," he said.(Reporting by Eliana Raszewski; Writing by Adam Jourdan;Editing by Daniel Wallis, Josie Kao and Cynthia Osterman)

© Copyright Thomson Reuters 2022. Click For Restrictions - http://about.reuters.com/fulllegal.asp