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Dry weather in western Argentina may delay soy planting: sources

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Dry weather in western Argentina may delay soy planting: sources

New Delhi — Prevailing dry weather conditions in western Argentina may delay the overall soybean planting for 2019-20 crop year (October-September), sources said.

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Moisture remained limited for germination of soybeans in western Argentina, the US Department of Agriculture said in a report Tuesday. Rainy weather returned to Argentina's eastern farmlands, but drought remained a problem in western agricultural areas.

A majority of Argentina's primary soybean producing region of Pampas, in the eastern part of the country, has received normal rainfall in the past few weeks, leading to soybean plantings, sources said.

Dry weather has reduced soil profile moisture in areas outside core growing regions of northern Buenos Aires, southern Santa Fe and northern Cordoba provinces, creating concern for some producers who would prefer to plant early, the report said.

According to a recent USDA report, Argentina's 2019-20 soybean planted area is projected at 18 million hectares (44.5 million acres), unchanged year on year, while the production is forecast at 53 million mt, down 4% year on year.

The Argentinian soybean yield in 2019-20 was predicted at 2.94 mt/ha, down 12% year on year, because of the trend of double-cropping soybeans, the USDA said.

If weather conditions are favorable across Argentina, planting of the first soybean crop takes place in late September, while the second soy crop is planted in November, immediately after the wheat and barley harvest are complete.

Argentina is the world's third-largest soybean producer and exporter, and the largest soy meal and soy oil exporter.

-- Asim Anand, aanand@spglobal.com

-- Edited by Bill Montgomery, bill.montgomery@spglobal.com