June 21, 2006

Argentina's 2006/07 wheat area 25 percent planted
 

Argentina's farmers had planted 25 percent of the 2006/07 wheat crop by Friday, the Buenos Aires Cereals Exchange reported Monday.

This puts the planting pace up from 19 percent a week ago.

"Higher moisture levels last week led to a big advance in planting in centre-west Santa Fe and eastern Cordoba, where long-cycle planting is almost done," the Exchange said.

The Exchange did not say how the pace compares with that of a year ago.

So far, farmers have planted 1,427,324 hectares. The Exchange expects planted area to total 5.7 million hectares.

Last year's 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.