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Dryness starting to hurt Argentine wheat: gov't

Published Updated

 BUENOS AIRES: Rains are needed in much of Argentina's wheat belt to safeguard 2011/12 crops, especially in parts of the top growing province Buenos Aires, the Agriculture Ministry said on Friday.

The South American nation, a leading global wheat exporter, has yet to forecast 2011/12 output, but the US Department of Agriculture (USDA) sees production dipping to 13.5 million tonnes from 15 million last season.

Some of the driest conditions are hampering crop development in Bahia Blanca, in the south of Buenos Aires. The province produces for about half of Argentina's wheat.

"In general, conditions in the area are worrying," the report said, citing the dryness, aphids and windy, chilly weather.

Elsewhere in the province, plants are still healthy despite the scant rainfall of recent weeks.

In No. 2 wheat province Cordoba, plants in eastern Marcos Juarez district are suffering frost damage and "rains are needed ... to maintain expectations for yields."

Farmers have finished planting wheat on 4.53 million hectares, according to the government.

CORN, SUNSEED

Argentina is the world's second-largest corn supplier after the United States and farmers are seeding the first of the 2011/12 crop where fields are damp enough.

Friday's report said sowing had not been possible in parts of No. 2 producer Buenos Aires province due to parched soils, though farmers were making steady progress in the Avellaneda district of Santa Fe province.

Many farmers are waiting for rains before starting work, the report said.

The ministry has not yet forecast new season planting area but many private analysts expect an increase from last season when the country produced an estimated 22 million tonnes, according to the US Department of Agriculture (USDA).

Buenos Aires Grains Exchange sees the commercial-use corn area rising 9 percent to 3.5 million hectares, while Rosario grains exchange estimates a 10 percent jump in plantings.

Farmers have yet to finish brining in the very last 2010/11 corn crops in Santa Fe, the government report said.

With regard to 2011/12 sunseeds, the government said sowing was advancing where soil moisture levels allowed, but that progress was patchy.

Argentina's Agriculture Ministry has not estimated sunflower area yet, but the Buenos Aires Grains Exchange forecasts it at 1.86 million hectares and says almost a fifth of that has been planted so far.

 

Copyright Reuters, 2011

 

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