March 19, 2007

 

Argentina kicks off soy harvest; high yields seen

 

 

Argentine farmers have kicked off the 2006/07 soybean harvest with early yields sharply higher than those seen at this point last year, the Buenos Aires Cereals Exchange said in its weekly crop report Friday (Mar 16).

 

Yields in the north of the country, where soy generally is planted and matures earlier, are up 58 percent from a year ago, the Exchange said.

 

Farmers have harvested 1.8 percent of the 2006/07 soy crop, compared with 3.9 percent at this date last year. Heavy rainfall has delayed the harvest.

 

High moisture levels are expected to boost yields, according to the Exchange.

 

However, the developing crop does not need any more rainfall, and excess moisture may complicate the harvest and lead to increased diseases, the Exchange said.

 

The Exchange sees record soy production of 45 million tonnes because of a 3 percent increase in area and 7.2 percent increase in yields compared to last year.

 

The Agriculture Secretariat sees 42.5 million to 44.5 million tonnes of soybeans coming from the 2006/07 crop, while the US Department of Agriculture forecasts production of 44 million tonnes.

 

 

Corn

 

Farmers took advantage of a break in the rain at midweek to advance the corn harvest, the Exchange said.

 

The 2006/07 corn harvest is 11.7 percent complete, 3.4 percentage points behind last year's pace.

 

Yields from the early harvest have been up 42 percent from the yields seen last year, the Exchange said.

 

The Exchange forecasts a record 22 million tonnes of corn coming from this year's crop, while the Secretariat forecasts 21-22 million tonnes. The USDA pegs output at 21.5 million tonnes.

 

Estimates for Argentina's 2006/07 crop production in millions of tonnes:

 

                                   Wheat     Soy          Corn     Sunseed

 Agriculture Secretariat      14     42.5-44.5  21-22     3.8-4.1

 USDA                             14.2     44           21.5          4

 BA Cereals Exchange      13.8      45            22         3.58

 

Argentina's historical production estimates in millions of tonnes, according to the Agriculture Secretariat:

 

                           Wheat    Soy       Corn     Sunseed

2005/06                 12.6     40.5      14.5     3.8

2004/05                 16       38.3      20.5     3.7

2003/04                 14.6     31.6      15       3.1

2002/03                 12.3     35        14.7     3.4

2001/02                 15.3     30        15.4     3.8