October 8, 2007

Argentina exchange cuts 2007/08 corn forecast to 3.2 million hectares

The Buenos Aires Cereals Exchange trimmed its forecast of 2007-08 corn planting by 40,000 hectares in its weekly crop report Friday (October 5). Farmers are expected to plant 3.2 million hectares with corn this season, according to the Exchange.

Corn planting leapt ahead 15.3 percentage points over the past week despite rain that prevented seeding in some areas, according to the exchange.

As of Friday, Farmers had planted 25 percent of the 2007-08 corn crop, 11.5 percentage points ahead of the pace at this date last year, according to the Buenos Aires Exchange.

The USDA forecasts production of 22.5 million tonnes, up from 21.8 million tonnes last season.

According to the Buenos Aires Exchange, 73 percent of the wheat crop is in good or very good condition, up from 68 percent last week. About 20 percent is in average condition, 6 percent is in poor condition and 1 percent is in very poor condition.

While wet weather prevented fungicide application this week, the conditions of the crop is much better than last year, when drought cut yields, according to the Exchange.

Farmers planted 5.4 million hectares with wheat this season, according to the Buenos Aires Exchange.

The USDA sees production of 14 million tonnes, down from 14.6 million tonnes last season.

To date, farmers have planted 15.9 percent of the 2.6 million hectares seen going to sunseeds, 4.1 percentage points behind last year's pace, according to the Buenos Aires exchange.