Rainstorms are sweeping Argentina’s soy belt, building soil moisture needed to guarantee good yields when crops blossom in February and providing some cushion for China to buy should its trade war with the United States continue to limit U.S. supplies.
Argentina had a trade surplus of US$ 314 million in September, official statistics agency Indec said on Tuesday, the first since December 2016 and an early sign the devaluation of the peso currency has benefited the country’s exporters.
Frost and a lack of rain could scale back Argentina's wheat crop for the 2018-19 season, which is currently seen at a record 19.7 million tons, the Buenos Aires Grains Exchange said on Thursday.
Argentine farmers are finishing this year's wheat sowing, helped by moist soils and cold weather that is prolonging the vegetative stage of crops, raising hopes of high yields and a record harvest, growers and analysts said on Wednesday. Cold Southern Hemisphere winter weather allows seedlings to grow more sprigs per plant. Harvesting starts in November.
Argentine soy yields and harvesting area have been chopped by drought to their lowest levels since the 2008/09 season, analysts said on Thursday, citing the effect of a four-month dry spell that suddenly gave way to floods in April.
Argentina's June trade surplus grew by 26.9% to 1.16 billion dollars from 910 million in the same month last year, but the six month period was down 26%, the government's national statistics institute Indec said on Tuesday.
Christmas rainstorms across Argentina further delayed soy and corn planting, keeping markets guessing about whether the grains powerhouse can produce enough this season to help bring high-flying global food prices down to earth.