March 16, 2004

Argentina 2003-04 Soy Output To Fall 2.2%

Argentina's soybean harvest in 2003-04 will fall by 2.2% to 34.5 million metric tons, according to the latest estimate by the Buenos Aires Cereals Exchange.
 
The soybean crop has been experiencing problems in eastern Cordoba and in Entre Rios because of a lack of soil moisture, the exchange said.
 
"February was a key month for many areas planted with first-crop soybeans and the moisture conditions were borderline just at the most critical moments," the exchange said. "The condition of the crop is extremely variable in different parts of the country, which makes it very difficult to quantify yields."
 
Even so, the exchange estimated that the average yield so far this year is down 12% from the previous year. As of Saturday, the average yield was 1.83 tons per hectare, compared with 2.45 tons a year ago.
 
"In general terms, the best crops can be found in the north, including some areas in north-east Buenos Aires and center-south Santa Fe," the exchange said.
 
The exchange expects poor results in the provinces of Chaco, Salta and Tucuman, where "moisture levels were insufficient" earlier this year.
 
By Saturday, farmers had collected 1.7% of the 2003-04 soybean harvest, the exchange said. This puts production thus far at 450,649 tons.
 
Planted area stands at a record 14.4 million hectares.
 
Last year, farmers planted 12.8 million hectares, according to the exchange.
 
This year around 11.3 million hectares correspond to first-crop soybeans while the rest was planted as second-crop soy, the exchange said.
 
The USDA estimates 2003-04 soybean production at 36.5 million tons.