The Rosario Grains Exchange has lowered its 2024/25 corn forecast to 48 million metric tons due to drought conditions. Soybean production estimates have also been reduced, though specific figures were not disclosed. Extreme weather is impacting yields significantly, and expected rainfall will likely be insufficient.
The Rosario Grains Exchange in Argentina has revised its harvest projections for corn and soybeans due to an ongoing drought. The forecast for the 2024/25 corn harvest has been reduced to 48 million metric tons, down from an earlier expectation of between 50 million and 51 million tons. Extreme temperatures, low relative humidity, and intense solar radiation were cited as contributing factors to this adjustment.
As a significant player in the global agricultural market, Argentina is the third largest supplier of corn and the top exporter of soybean meal and oil. Alongside the revised corn forecast, the exchange indicated that soybean production for 2024/25 is also expected to be below previous estimates of 53 million to 53.5 million tons; however, a specific figure was not provided. This decline is attributed to the drought conditions affecting Argentina’s agricultural heartland.
The exchange pointed out that the lack of rain over the past month has had a detrimental effect on soybean yields, leading to the dismissal of previously anticipated high productivity scenarios. Although precipitation is forecasted in the coming days, the expected rainfall accumulation is predicted to remain quite moderate, posing ongoing challenges for the country’s agricultural sector.
In summary, the Rosario Grains Exchange has significantly reduced its corn and soybean production forecasts for the 2024/25 season due to adverse drought conditions affecting Argentina. The exchange attributes these changes to extreme weather conditions, which could have lasting impacts on agriculture in the region. The forecasted rainfall is also unlikely to provide sufficient relief.
Original Source: www.agriculture.com
