June 13, 2006

Argentina's 2006/07 wheat area 19 percent planted

Farmers in Argentina had planted almost 19 percent of the 2006/07 wheat crop by Saturday (Jun 10), the Buenos Aires Cereals Exchange reported Monday.

This puts the planting pace up 5.6 points from a week ago and up 1.7 points from a year earlier.

So far farmers have planted 1,080,060 hectares. The Exchange expects planted area to total 5.7 million hectares.

Last year area totalled just 5.2 million hectares.

An extended drought is likely to lead Argentine farmers to plant substantially less 2006/07 wheat than previously expected, the Buenos Aires Cereals Exchange forecast Monday.

In 2005/06 Argentina produced 12 million tonnes of wheat, according to the Exchange. That was down from 16.345 million tonnes a year earlier, when good weather helped lift yields.

The US Department of Agriculture has forecast Argentina's 2006/07 wheat crop at 14.3 million tonnes.