September 21, 2004

Dry Spell Worsens Conditions Of Argentina's 2004-05 Wheat Crop

Argentina's 2004-05 wheat crop is facing increasingly adverse climatic conditions in northern parts of the country, the Buenos Aires Cereals Exchange reported Monday.

The wheat crop, which farmers finished planting about 10 days ago, is beginning to lack moisture just as the crop enters key phases of the growing period.

"The moisture reserves are running out at a time when the crop requires a growing amount of (water)," the exchange said.

A lack of this is compromising the condition of the crop in center-north parts of Cordoba and Santa Fe, as well as in some areas of Salta, Santiago del Estero and Tucuman. As much as 10% of the crop is considered to be in "critical condition," according to the exchange.

"In absolute numbers, approximately 650,000 hectares have suffered from serious hydra-stress," the exchange said.

Argentina produced 14 million metric tons of wheat in 2003-04, according to the exchange. The Agriculture Secretariat has said 2003-04 production totaled 14.5 million tons.

The U.S. Department of Agriculture predicts that 2004-05 production will total 14.5 million tons.

Argentine wheat usually is planted between May and August. The crop is harvested between October and January.