Argentina: Grain and Feed Update
Post projects Argentine wheat production for 2017/18 at 16.8 million tons, 700,000 tons smaller than USDA due to a significantly lower harvested area. Excess rain during the planting and growing seasons will negatively affect the harvested area. This is forecast to cut potential exports, projected at 10.8 million tons, to 700,000 tons lower than USDA. Barley production and exports in 2017/18 remain practically unchanged from USDA’s official data. Post projects corn production for 2017/18 at 40 million tons, 2 million tons lower than USDA because of a smaller area. Some producers could shift marginal corn area into soybean production due to the recent changes in relative prices between soybeans and corn. Rice area and production for 2017/18 is expected to drop due to excessive rain, which is delaying plantings in the main provinces, and thin returns.
