Argentina’s 2016-17 wheat area forecast cut to 4.3 million hectares


Argentina’s 2016-17 wheat planting area is seen at 4.3 million hectares, the Buenos Aires grains exchange said, down from a previous forecast of 4.4 million hectares, due to meteorological factors.

In its weekly report, the exchange said that rains in the last two months in Buenos Aires province had delayed the soy harvest. That in turn prevented farmers from re-planting soy fields with wheat.

“The excess of moisture accumulated in the soil and the lack of sunny days did not allow the planting of wheat during the first weeks of the optimum period,” the exchange said.

“Additionally, the forecast for southern Buenos Aires province does not discount the possibility of new precipitation in the coming week, which could put planting at risk in remaining areas.”

Argentine farmers planted 3.6 million hectares of wheat last season. The bump in planting is due largely to the lifting of export tariffs by center-right President Mauricio Macri who came to power in December 2015.

Corn harvesting, which has been delayed by flooding, advanced 6 percentage points during the week to 58.6 percent of planted area.

Soy harvesting, which was finished last year by the beginning of July, advanced 0.7 percentage points on the week to 98.9 percent of area planted with the oilseed.

The South American grains powerhouse is the world’s third largest exporter of soybeans and the third largest corn exporter.


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