June 9, 2009

Delayed rains and dry weather in Venezuela's Portuguesa state could result in 100,000 fewer hectares planted to corn, according to a US Department of Agriculture attache report posted Monday (June 8) on the Foreign Agricultural Services Web site.

The extended period of dry weather has reportedly resulted in the loss of some 100,000 hectares of corn in the State of Portuguesa, according to representatives of the Venezuelan Producers Association, Fedeagro. Producers are concerned that the lack of rainfall means that they will have to replant some land, and purchase additional inputs and labour, increasing costs for what will likely be a smaller crop.

During this season, 230,000 hectares of corn are expected to be planted in Portuguesa, a significant portion of the national projection of 750,000 hectares. From the estimated loss of 100,000 hectares, 70,000 hectares is white corn and the rest is yellow corn.

Producers recognize the effort of government to maintain subsidies for essential items such as agricultural diesel and fertilisers (urea), but believe an urgent review of the price of corn is needed to avoid a collapse in planting next year. They have requested a review of the farm-gate corn price and a price increase for precooked corn flour, too.