Heat in Argentina continues to lower soybean and corn crop forecasts

Dry and hot weather continues to negatively affect soybean and corn crops in Argentina. In the next 7-10 days, temperatures will again exceed 30 ^o C, and precipitation is not forecast.

As a result of the difficult weather conditions in the country, the experts of the Grain Exchange of Buenos Aires (BAGE) on February 22 again lowered their forecasts for the production of soybeans and corn. According to their data, during the week, the number of soybeans in good or excellent condition decreased by 6% to 3%, and the area experiencing drought increased by 4% to 71%. At the same time, the number of corn crops in good or excellent condition decreased by 2% to 9%, and the number of areas with favorable moisture - by 5% to 40%.

Compared to previous estimates , the forecast for soybean production in Argentina has been reduced by 4.5 million tons to 33.5 million tons, although the USDA estimates it at 41 million tons. early frosts in the western regions, will be determined within a few weeks.

BAGE lowered its corn production forecast by 3.5 million tons to 41 million tons, while the USDA estimates it at 47 million tons, as the corn yield will be much lower than previously expected and 21% lower than last year.

The sunflower production forecast remains at the level of 3.9 million tons, and currently 24.5% of the planned 2 million hectares have been threshed, and the average yield is 1.53 tons/ha.

Brazil may be making up for crop losses in Argentina, but there is still ongoing rain that is hampering soybean harvesting and corn planting. While the delay is not critical, some second-crop corn crops may be planted after optimal timing, so they will mature during the dry season, reducing yield potential. Currently, the rains are improving the condition of already sown corn fields.