April 4, 2006

 

Argentina's 2005/06 soy crop seen at 40.4 million tonnes

 

 

Argentine farmers will harvest a record 40.4 million tonnes of soybeans in 2005/06, the Buenos Aires Cereals Exchange forecast Monday (Apr 3).

 

The forecast, which is up from 40 million tonnes a week ago, is based on higher-than-expected yields in key production areas. If the forecast holds, it would put production up from last year's record of 38.85 million tonnes.

 

As of Saturday farmers had harvested 21.1 percent of the 2005/06 crop, the Exchange reported.

 

That puts the collection pace up three percentage points from a year ago.

 

As of Saturday farmers had collected 3,284,310 hectares, putting production so far at 8.727 million tonnes.

 

The average yield last week was 2.66 tonnes/hectare, up from 2.5 tonnes a week ago but down from 3.05 tonnes a year ago, when excellent weather lifted yields. In some areas that received a lot of rain during the planting phase, yields are even totalling around 4 tonnes/hectare, the Exchange said.

 

Planted area totalled 15.62 million hectares, up from 14.67 million hectares a year earlier.

 

Last year farmers produced a record 38.85 million tonnes of soy, according to the Exchange.

 

The Exchange has forecast 2005/06 output at 40 million tonnes while the US Department of Agriculture sees Argentina's soybean production at 40.5 million tonnes.

 

 

Corn

 

Farmers had also harvested 30 percent of the 2005/06 corn crop by Saturday, putting the collection pace down six percentage points from a year ago.

 

As of Saturday farmers had harvested 662,668 hectares, putting production so far at 4.039 million tonnes.

 

The average yield last week was 6.1 tonnes/hectare, which is up from 5.89 tonnes a week ago but down 22.7 percent from a year ago. An extended drought during planting season hurt yields this season.

 

The USDA has forecast Argentina's 2005/06 corn output at 15.5 million tonnes while the Exchange puts it at 14 million tonnes, way down from about 19.62 million a year earlier.

 

Production estimates are down because farmers planted less corn and dry weather damaged what was planted. Planted area totals 2.26 million hectares, down from 2.63 million hectares a year ago.

 

The 2005/06 area, including corn grown for use as animal feed, totals around 2.85 million hectares.

 

Argentines plant corn September through January and harvest it February through July.