Argentina's soy crop shrinks
With Argentina's soybean harvest over half done, final yields are coming in lower than initially expected and production prospects have dimmed somewhat, the Buenos Aires Cereals Exchange said in its weekly crop report Thursday.
The exchange trimmed its forecast to 43 million metric tons, down from 44 million tons last week. Drought earlier in the season damaged many fields, reducing potential yields, the exchange said.
The fields have also been hit by a series of frosts over the past week, but the affected crops "don't represent a relevant amount of the area" planted with soy, the exchange said.
Yields from Argentina's soybean crop are disappointing in many areas due to drought in December and January that affected early fields and led many farmers to put off soybean planting until late January. As a result, the short growing season for much of the crop trimmed potential output.
Early in the season, many analysts predicted 2011-12 soybean output would top the 49 million metric tons grown last season.
Argentina leads global soyoil and soymeal exports, and ranks third in soybean exports. Global soy prices got a lift this year due to the mediocre crops from both Argentina and Brazil.
The exchange also trimmed its forecast for corn production by 1 million tons to 19.8 million tons as yields in many areas ended up lower than initially expected.
So far, 41.3% of the corn crop has been harvested, according to the exchange.
Estimates for Argentina's 2011-12 crop production in millions of metric tons (One hectare equals 2.47 acres):
Wheat Soy Corn Sunseed B.A. Cereals Exch 14MT 43MT 19.8MT 3.6MT Ag Ministry 13.4MT 42.9MT 20.3MT 3.4MT USDA 14.5MT 45MT 21.5MT 3.2MT Rosario Grain Exch 13.7MT 43.1MT 19.8MT --
Argentina's historical production in millions of metric tons, according to the USDA:
Wheat Soy Corn Sunseed 2010-11 15 49 22.5 3.6 2009-10 9.6 54.5 22.5 2.3 2008-09 10.1 32 15 2.9 2007-08 18.6 46.2 22 4.65 2006-07 16.3 48.8 22.5 --
-By Shane Romig, Dow Jones Newswires; 54-11-4103-6738; firstname.lastname@example.org
(END) Dow Jones Newswires
April 26, 2012 14:19 ET (18:19 GMT)