Forecast for Argentina's corn area takes an upturn 

Planting of Argentina's 2009-10 corn crops is advancing as farmers take advantage of recent rainfall, raising expectations of more area going to the crop.

The Buenos Aires Cereals Exchange raised its forecast for planted area to two million hectares from a previous estimate of 1.95 million as rainfall helped with the planting of fields and in the development of the crop.

If the favourable weather conditions continue, the exchange estimates production from the 2009-10 season could come in at 15.8 million tonnes, up 15% from the 13.8 million tonnes in the 2008-09 season.

To date, 88.6% of the area has been planted, according to the exchange.

Meanwhile, the 2009-2010 soy crop is developing as expected, as rainfall improves soil moisture in drought-stricken fields. Excessive rainfall may delay late-season planting elsewhere, the exchange added.

The Rosario Grain Exchange forecasts soy production of 50.8 million tonnes, while the US Department of Agriculture expects 53 million tonnes.

Several days of rainfall slowed the 2009-10 wheat harvest in southern Buenos Aires province, where the last fields remain to be harvested.

To date, 65% of the crop is harvested, with yields averaging 2.58 tonnes per hectare. The Buenos Aires Cereals exchange estimates 2009-2010 wheat production to reach 7.5 million tonnes.