May 18, 2006

 

Argentina sees 2006/07 wheat area up at least 10 percent on-year

 

 

Argentine farmers will plant at least 10 percent more wheat in 2006/07 than they did the previous year, the Agriculture Secretariat said Wednesday (May 17) in its monthly crop report.

 

The planted area for wheat in 2006/07 will likely total between 5.6 million hectares and 5.9 million hectares, depending on climatic conditions. The lower forecast would put area up almost 11 percent while the higher sees area increasing by almost 17 percent from the previous season, when a long drought deprived the soil of moisture and prevented planting.

 

Farmers produced 12.5 million tonnes of wheat in 2005/06, according to the Secretariat. That was a sharp decline 16 million tonnes a year earlier, when excellent weather boosted area and yields.

 

Argentine wheat is planted May through September and collected October through January.

 

 

Soy

 

Meanwhile, farmers will harvest a record 40 million tonnes of 2005/06 soybeans, the Secretariat said.

 

The forecast is unchanged from a month ago.

 

The Secretariat also kept its estimate for the planted area of soybeans at 15.2 million hectares, which puts area up 5.6 percent from 14.4 million hectares a year ago.

 

Area is seen up in part because dry weather prevented many farmers from sowing corn or wheat and those fields were planted with soybeans. Farmers, too, stepped up soy acreage because of its higher price compared with other crops, the Secretariat said.

 

In 2004/05 Argentina produced a record 38.3 million tonnes of soy, according to the Secretariat.

 

The US Department of Agriculture has forecast Argentina's 2005/06 soybean output at 40.5 million tonnes.

 

 

Corn

 

The Secretariat also kept its forecast for 2005/06 corn production at 14 million tonnes.

 

Also unchanged was the estimate for the planted area of 2005/06 corn, which remains at 3.05 million hectares.

 

If the forecast holds, it would put area down 10.3 percent on the year. Area and output are down mainly because of poor weather during the planting season.

 

Argentina produced a record 20.5 million tonnes during 2004/05 corn harvest, according to the Secretariat.

 

Production rose because area and yields were up. Excellent weather and better use of agri-chemicals and seed varieties boosted yields to record levels.