March 19, 2010

Argentina farms push ahead with record soy harvest

Argentina's 2009-10 soy harvest picked up pace this week, with farmers continuing to keep a wary eye on the weather but expecting a record crop, the Buenos Aires Cereals Exchange said on Thursday (March 18).

So far, 6% of the fields planted with soy have been harvested, with progress slowed by heavy showers this week, the exchange said.  The crop is generally in good shape although there are concerns that too much rain or early frosts toward the end of this month and through April could damage the beans, the exchange said.

The exchange held its soy forecast at a record 53.5 million tonnes, up 67% from last year's drought-battered crop.

Earlier on Thursday, the Agriculture Ministry made its first forecast for 2009-10 soy production, pegging output at between 51 million and 55 million tonnes. The government forecast is in line with private analysts, although most see production toward the top end of that range.

Argentina leads the world in soymeal and soyoil exports, and is the third largest soy exporter.

Meanwhile, the corn harvest is making good progress, with almost a quarter of the fields harvested to date, the exchange said. Conditions are excellent, with record yields expected, the exchange added. The exchange held its forecast for commercial corn at 20.2 million tonnes.

The Agriculture Ministry also narrowed its forecast for total corn production to 20.5 million tonnes, compared to the 19-million to 21-million-tonne range forecast last month.