November 1, 2005

 

Argentina 2005-06 soybean crop 2.7 percent harvested

 

 

Argentine farmers had harvested 2.7 percent of the 2005-06 soybean crop by Saturday, according to the latest data from the Buenos Aires Cereals Exchange.

 

That puts the pace of planting up from 1.1 percent a week ago but down around a percentage point from a year ago, when area was almost one million hectares smaller.

 

"The rain that fell during the week, with important downpours in the top production region, slowed planting but assured a better pace and continuity of work when the soil recovers its moisture levels and allows for the entrance of seeding machines," the exchange said.

 

The exchange expects farmers to plant a record 15.6 million hectares of soy this season, up 6.3 percent from the previous year.

 

As of Saturday they had sown 424,890 hectares.

 

The US Department of Agriculture has forecast Argentina's 2005-06 soybean output at a record 40.5 million metric tonnes, up from the previous record of 39 million a year ago.

 

Farmers are planting and producing more soy because it is cheaper to cultivate than corn and it fetches more money in commodities markets.

 

 

Corn

 

Meanwhile, farmers had planted 59.3 percent of the 2005-06 corn crop by Saturday, putting the planting pace up from 45.8 percent a week ago and up from around 54 percent a year earlier.

 

"Rain allowed farmers to restart planting in the centre-south region and begin planting in north-eastern parts of Cordoba, areas where work had been delayed excessively by the drought and which are slowly beginning to recover soil moisture levels," the exchange said. "Even so, in southern parts of this province, the decline in planted area, estimated to be around 20 percent, is irreversible."

 

The exchange expects farmers to sow 15.2 percent less corn this year as area totals 2.23 million hectares, compared with 2.63 million a year ago.

 

The 2005-06 area, including feed-use corn, will total 2.95 million hectares, according to the exchange.

 

As of Saturday farmers had sown 1,321,800 hectares, the exchange said.

 

In 2004-05 Argentina produced a record 19.7 million metric tonnes, up from 13.1 million a year earlier. Great weather, improved use of agrichemicals and better use of seed varieties, helped increase yields to record levels in many areas.

 

The average national yield was a record 7.58 tonnes per hectare, up from 6.28 tonnes a year ago.

 

The USDA has forecast Argentina's 2005-06 corn output at 18 million tonnes with an average yield of 7.2 tonnes/hectare.

 

Argentine corn is planted September through January and harvested May through August.