The cut in the soybean harvest continues: it will be the lowest in the last 22 years

The projection of soybean production for this campaign continues in free fall due to the drought.

Now, the Buenos Aires Grain Exchange forecasts that the oilseed harvest will be 25 million tons, the lowest figure since the 2000/2001 campaign.

According to the latest report from the Buenos Aires institution,

.

First, the drought that has been hitting us since June of last year.

later, early frosts were added during February.

And finally, the last heat wave that hit the country since February 27, with temperatures that exceeded 40 degrees.

Thus, forecasting very poor yields (the lowest in 22 years) and significant losses of harvestable area in second-hand soybeans, the Buenos Aires Grain Exchange reduced the forecast to 25 million tons, a drop of 42% compared to the cycle former.

If this figure is specified,

, the date that the Buenos Aires Stock Exchange began to reveal the data.

It will even be lower than the 2008/2009 cycle (32 million tons).

well remembered by the producers who were also very affected by the drought.

Last week the Rosario Stock Exchange had also considerably lowered its soybean estimates to 27 million tons.

But not only the drought and the heat wave affected soybeans.

Corn is also suffering the consequences.

In the same report, the Buenos Aires Grain Exchange

, down 30% (16 million tons less) than those harvested the previous season.

This strong productive blow is already being felt in the settlement of foreign exchange in the countryside.

Between January and February, according to data from the Chamber of the Oil Industry of the Argentine Republic, US$1.5 billion were liquidated against the almost US$5 billion.

of the same period of 2022. And so far in March, just over US$ 600 million have been liquidated, and there are only 12 business days left, so the number is also expected to be low.​

In this regard, the Rosario Stock Exchange calculated that only in soybean, wheat and corn crops, which constitute 87% of grain production in Argentina and 43% of the country's total exports, losses exceed USD 14,140 million

This is equivalent to the total cost of planting the next 2023/24 harvest for the agricultural producer, according to the entity.

If we add to this the lower demand for freight, work, and financial services,

.

"The drought has already claimed 3 points of the estimated Argentine GDP for the year 2023," the entity said.

look also

Red traffic light: they warn that 80% of agricultural production is in crisis

De Angeli asked the president of the Central Bank to repeal the measures that make credit for agriculture more expensive