November 1, 2005

Argentina wheat harvest picks up on fresh rain

Fresh rain last week helped farmers in Argentina gain momentum as they worked to harvest the 2005-06 wheat crop, the Buenos Aires Cereals Exchange reported Monday.

By Saturday, farmers had collected 3.3 percent of the crop, the exchange reported without saying how the pace of collection compares with that of the previous year.

So far farmers have harvested 166,315 hectares, putting production at 218,630 tonnes.

Planted area totals 5.08 million hectares, of which 4.965 million will be collected, according to the exchange. Area planted is down from 6.09 million hectares a year ago, largely because of exceptionally dry weather earlier in the planting season.

However, last week's rain was good for the crop.

"The opportune change of circumstances in the main agricultural zone allowed for the reversal of a lack of water that threatened the flowering and grain filling stages, which are key to defining yields," the exchange said.

The average yield last week was 1.31 tonnes per hectare, lower than the 2.29 tonnes forecast by the US Department of Agriculture for Argentina's 2005-06 wheat crop. Analysts say yields will rise in the weeks as the harvest moves further south where yields are typically higher.

The USDA has forecast Argentina's wheat production this season at 11.7 million tonnes, compared with 16 million a year earlier.