ARGENTINA: Argentine farmers are selling unusually little of their new wheat crop even as planting moves ahead quickly, the Rosario grains exchange said in a report on Friday, pointing to lower forward prices and growing concern about future supplies.
Farmers have planted 82percent of the 2026/27 wheat area expected by the government, with fieldwork recovering after earlier rain delays. But sales of the new crop have reached only 2 million metric tons so far, one of the weakest starts in the last decade.
The exchange said the amount contracted is just 10.5percent of expected production, below the five-year average of 16.6percent for this stage. Of the wheat already sold, 690,000 tons still do not have a fixed price. Prices for wheat to be delivered after harvest have fallen sharply.
The December contract dropped from around USD231 per ton in late April and mid-May to about USD206 per ton in early July, leading farmers to slow sales rather than lock in lower prices.
Argentina could end up with bigger wheat stockpiles if exports do not keep moving. The exchange estimated 2025/26 ending stocks at about 4.5 million tons, the highest since 2014/15, even with domestic demand seen at 9.2 million tons and exports at a record 19 million tons.
Argentina is also facing tougher competition abroad. Its wheat export price is now about USD227 per ton, close to rival suppliers, while large Northern Hemisphere harvests are adding pressure to global prices.
Farmers are holding off on selling their soybeans as well, despite firmer prices. Only 42percent of expected output for the season has been committed, the report said, with only 27percent at a fixed price - the lowest in three decades.
The report showed some improvement in corn sales, however. Weekly corn sales rose to about 800,000 tons, the highest since late May, as late-planted corn enters the market. Corn prices remain weak though, near USD180 per ton, pressured by abundant supplies in both Argentina and Brazil.
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