January 25, 2005

 

 

Argentina's 2004-05 corn harvest, soy planting update

 

Argentina's farmers will harvest 17.9 million metric tons of 2004-05 corn, the Buenos Aires Cereals Exchange forecast Monday.

 

Favorable climatic conditions have pushed yields above expectations, at an average yield of 7 tons per year, the exchange said. Corn yields have risen steadily over the past decade, from average yields at just 4.2 tons/hectare about ten years ago, in 1993-94. Today, yields are expected to total 10 tons/hectare in some areas, the exchange revealed.

 

Yields are rising as farmers become more proficient at rotating crops and applying such agri-chemicals as fertilizer and herbicides. Farmers this season have also planted a new kind of genetically modified seed by Monsanto. This is expected to boost output by allowing farmers to plant the crop in more areas.

 

Argentina's corn output last year was 13.1 million tons, according to the exchange.

 

As of Saturday, farmers had planted 99.6% of the 2004-05 commercial corn crop, the exchange said. The exchange estimates total planted area of exportable corn at 2.56 million hectares. Last year's area totaled 2.28 million hectares. As of Saturday, farmers had planted 2,548,550 hectares.

 

The U.S. Department of Agriculture's forecast for Argentina's 2004-05 output is 17 million tons while the Agriculture Secretariat's estimate is at between 18 million and 19 million tons.

 

Soybeans

 

Also, farmers had planted 97.5% of the 2004-05 soybean crop by Saturday, the exchange said.

 

This puts the pace of collection up slightly from 96% a week ago but down from 99% a year ago, the exchange said.

 

The exchange sees the 2004-05 area at 14.7 million hectares. Thus far, farmers have planted 14.328 million hectares.

 

Last year, farmers planted 14.5 million hectares and harvested 32.2 million tons of soy, according to the exchange.

 

A healthy amount of weekend rain aided crop recovery from a brief dry spell, the exchange said. However, rain has fallen unevenly and large areas still need more moisture.

 

The USDA sees Argentina's 2004-05 soy output at 39 million tons and the Agriculture Secretariat has forecast production between 31 million and 39 million tons, depending on the weather. The most likely result, according to the Secretariat, is an output of around 35 million tons.