April 7, 2006

 

Argentina's soybean prices lower; corn prices up

 

 

Argentina's soybean prices ended lower Thursday (Apr 6) compared with the previous week But higher corn prices at the Chicago Board of Trade lifted local corn values.

 

Cash soybeans sold for ARS500 (US$162.3) per tonne at the Rosario Cereals Exchange, down from ARS505 a week ago.

 

The Exchange said 70,000 tonnes of cash soy were sold Thursday, up from 50,000 tonnes a week earlier.

 

May soy futures sold for US$162/tonne, down from US$163/tonne a week ago.

 

Farmers had collected 21.1 percent of the 2005/06 soybean crop by Apr 1, according to the Buenos Aires Cereals Exchange.

 

Asian rust continued to spread last week in Argentina and has now been found in eight provinces. However, Mircoli said the disease "will have no impact" on the crop or prices.

 

"At this point in the harvest, it's too late for it to have an influence on anything," Mircoli said. "It may be a problem next year though."

 

The US Department of Agriculture has forecast Argentina's 2005/06 soybean crop at a record 40.5 million tonnes while the Agriculture Secretariat sees output at 39.5 million tonnes.

 

As of Apr 4, Argentina had sold 10.164 million tonnes of 2004/05 soybeans for export, Secretariat data show. Sales of 2005/06 soybeans totalled 2.502 million tonnes by the same date.

 

 

Corn

 

Cash corn sold for ARS255 per tonne Thursday in Rosario, up from ARS245 a week ago.

 

Some 12,000 tonnes of cash corn were sold Thursday, up from 10,000 tonnes a week ago.

 

Corn futures for May delivery went for US$84/tonne.

 

Farmers had harvested 30 percent of the 2005/06 corn crop by April 4, according to the Buenos Aires Exchange.

 

The USDA has forecast Argentina's new corn harvest at 15.5 million tonnes.

 

The Secretariat sees it at 13.9 million tonnes.

 

Last season good weather and solid prices led farmers to harvest a record 19.5 million tonnes of corn, according to the USDA. The Secretariat says output last season totalled a record 20 million tonnes.

 

The Buenos Aires Exchange says farmers have planted 15.2 percent less corn than a year ago. It sees planted area at 2.23 million hectares, down from 2.62 million the previous season.

 

As of Mar 31, Argentina had sold 14 million tonnes of 2004/05 corn for export, up from 11.16 million tonnes a year earlier, Secretariat data show, unchanged from a week ago. As of Apr 4, Argentina had sold 3.216 million tonnes of 2005/06 wheat and 100,000 tonnes of 2006/07 wheat.