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Parched, hot conditions caused by the La Nina weather phenomenon are threatening corn yields in Argentina, the world's No 2 exporter of the cereal, and rains are urgently needed, the government said on Friday. Argentine farmers gathered a record corn crop of 22.7 million tonnes last season, but the dry weather is raising concerns that production could be hit this season and US corn futures have risen in recent weeks due to supply fears.
"The high temperatures coupled with almost zero rainfall are threatening yields, especially in corn that has started pollinating," the Agriculture Ministry said in a weekly crop report, referring to Bolivar in Buenos Aires province. "As far as the rest of the crops go (such as soya), the situation is similar, though not as threatening," it added. Buenos Aires is the top soya-, corn and wheat-growing region in the country.
Agriculture Minister Julian Dominguez has forecast 2010/11 corn output at a record 26 million tonnes, but output could fall if dry weather persists as more and more crops enter the pollination stage of development when yields are defined. The dry, hot weather reported in Buenos Aires is causing similar problems for crops in parts of Cordoba and Santa Fe, other leading corn regions, the report said.
By Thursday, corn farmers had seeded 87 percent of the 4.04 million hectares estimated for planting, just 2 points more than the previous week but matching last season's tempo. Argentina is also the world's No 3 soyabean exporter and the government has forecast 2010/11 area at 18.7 million hectares (46.20 million acres), slightly above last season despite the impact of La Nina.
By Thursday, farmers had planted 83 percent of the estimated soya area, up 6 percentage points from the previous week but still lagging 4 points behind last season's pace. As well as delaying plantings, the dry soils and hot weather are harming plants as they near the crucial pollination phase and slowing their development in many areas.
"The early-planted soya in Pergamino is entering the most critical stage of the cycle - pollination, and it's therefore very dependent on the rains that fall over the next few days," the report said of a district in northern Buenos Aires. Dominguez has forecast 2010/11 soya production at 52 million tonnes, as does the US Department of Agriculture (USDA), down slightly from last season's record 52.7 million tonnes. However, some crop analysts have already started to lower their production forecasts due to the parched conditions plaguing some growing areas. Argentine producers are also harvesting the wheat crop. By Thursday, they had gathered 75 percent of planted fields, advancing 13 percentage points from last week and outpacing last season's harvest pace by 3 points.

Copyright Reuters, 2011

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