BUENOS AIRES: Rains over recent days in Argentina have come in time to prevent further losses in 2020/21 soybean yields, the Buenos Aires Grains Exchange said on Thursday, two weeks after it cut the season's crop estimate due to months of dry weather.

Soy is the country's main cash crop. Argentina is the world's top exporter of soymeal livestock feed, used to fatten hogs and poultry from Europe to Southeast Asia. The exchange earlier this month cut its 2020/21 harvest forecast to 44 million tonnes from a previous estimate of 46 million tonnes.

"Rains during the last week interrupted the progressive deterioration of soil moisture conditions in northeast Argentina," where 10% of this season's soy plantings are located, the exchange said in its weekly crop report.

It said it expects more rain and moderate temperatures in the central farm belt over the days ahead, although it warned that early frosts could affect the development of soy-growing areas in southern Buenos Aires province.

Argentine soy planting starts in October with harvesting through May. A drought that started in mid 2020 has hurt yields.

The exchange forecasts Argentine farmers will collect 45 million tonnes of corn this season. It said growers had collected 7% of the crop so far, with soy expected to start being harvested over the weeks ahead.