October 24, 2005

 

Argentina's 2005-06 corn 55 percent planted by Thursday

 

 

Argentine farmers had planted 55 percent of the 2005-06 corn crop by Thursday, according to the latest data from the Agriculture Secretariat.

 

That puts the planting pace up from 47 percent a week ago and from 50 percent a year earlier.

 

"Good climatic conditions this week allowed for an important advance in the planting of the crop (in Buenos Aires Province)," the Secretariat said, repeating almost verbatim comments made in last week's crop report. "The crop is mainly in the emerging phase and has no sanitary problems."

 

More than a quarter of Argentina's 2005-06 corn is planted in Buenos Aires.

 

For the most part, corn is evolving normally elsewhere. However, an increasingly dry climate means fresh rain is needed in a number of areas to improve soil-moisture levels.

 

In part because of the dry climate, the Secretariat on Wednesday reduced its estimate for planted area to 3.057 million hectares from 3.15 million a week ago.

 

The latest estimate puts area down from 3.336 million hectares a year earlier.

 

A combination of low corn prices, high input and planting costs, a 20-percent export tax and recent dry weather have led many farmers to plant less this season.

 

As of Thursday farmers had planted 1.68 million hectares of corn, according to the Secretariat.

 

The USDA has forecast Argentina's 2005-06 corn production at 18 million tonnes, down from 19.5 million in 2004-05.

 

The Buenos Aires Cereals Exchange has estimated planted area this season at 2.23 million hectares, compared with 2.63 million a year earlier.

 

The Exchange's estimate does not include corn grown strictly for use as animal feed.