July 27, 2011

Argentina's wheat crop helped by cool weather

Argentina's wheat crop has been helped by the cool weather in Argentina's main agricultural region, after farmers planted less wheat than the same period last year.

"Cold is good for wheat because it helps the plant grow downwards in the early stages," and develop good roots, said Cristian Russo, a forecaster with the Rosario Cereal Exchange. "Average temperatures are in line with previous years, and even a bit lower."

Wheat farmers in the central part of Argentina's fertile Pampas region will plant about 10% less hectares in 2011 than a year earlier amid government restrictions on wheat exports, the exchange said in a July 12 report.

Farmers in other parts of the Pampas, where weather conditions allow for fewer alternative crops, are increasing the planted area, it said.

Argentina is Latin America's largest wheat producer and farmers are forecast to plant 4.47 million hectares this season, compared with 4.5 million in 2010, according to the Cereals Exchange. Planting goes from April through September, while harvesting runs from October to January.