February 16, 2010

Argentina grains doing well as weather cooperates

Argentine crops continue to develop well across the bulk of Argentina's farm belt, with recent showers auguring high yields, according to the Agricultural Ministry's weekly crop report.

Soy planting is 99% complete, with good to very good conditions in most fields, the Ministry said Friday (Feb 12).

High planting area and good growing conditions are expected to lead to a big rise in production. The Ministry has not forecast crop size yet, but the Buenos Aires Cereal Exchange pegs 2009-10 soy production at a record 52 million tonnes. That's up sharply from the 32 million tonnes grown last season when drought hit the crop.

The country's corn crop is also developing very well across most of the farm belt, benefitting from the recent showers, the ministry said.

Planting is 97% complete and the first fields of early corn are expected to be harvested soon.

The good conditions led the Buenos Aires Exchange this week to boost its forecast for commercial corn to 19.3 million tonnes, up 5% from last week's estimate.