Rosario cuts Argentina soy crop forecast to 40m mt, corn 32m mt

The Rosario Board of Trade has slashed its forecast for Argentinian soybean and corn to 40 million mt and 32 million mt, respectively on poor weather.

The figures are down from its previous estimate of 46.5 million mt for soybean and 35 million mt for corn.

The exchange said on its website Thursday that a lack of soil moisture was behind the fall, which means the Board has gone from being one of the more bullish analysts to one of the most bearish when it comes to the devastated Argentinian crops.

"Humidity remained insufficient in the soils, so the first soybean crop continued to form pods and fill their grains in the worst conditions," the exchange said, adding that the average yield is estimated at 2.36 mt per hectare, down almost 12% on the year before.

Planted area is expected to be 18 million hectares.

Meanwhile for corn, the Board said the total area planted is expected to remain unchanged at 6.43 million hectares with the yield falling to just under 6 mt per hectare, 7% down on the year before.

Planted area is expected to be 5.36 million hectares.

Elsewhere, the Buenos Aires Grain Exchange said Thursday that it expects soybean and corn production to remain steady at 42 million mt and 34 million mt, respectively, despite the continuing lack of rain.

However, the weekly report, closely watched by the industry for a sign of future supply, said without rain in the north of the country, it could further revise down its projections for corn and soybean.