USDA: Drought Causes Large Corn Crop Losses in Mexico

April 10, 2012 03:49 AM

In this morning's World Supply & Demand Report, USDA lowered Mexico's 2011-12 corn crop by 500,000 metric tons (MT) from the previous month to 19.0 million MT. USDA says the reduction in output is attributed to adverse weather conditions, including late rains, drought and frost that impacted the spring/summer crop, as well as low water reservoirs in Sinaloa impacting the fall/winter crop.

"The impact of the drought was worse than previously forecasted. The Secretariat of Agricultural, Livestock, Rural Development, Fisheries and Food (SAGARPA) reported that it caused high crop losses, particularly in the main producing areas of Puebla, state of Mexico, Guanajuato, and some regions of Jalisco," says USDA. "The spring/summer crop is estimated to reach 13.5 million MT, down 20% from the previous year. Production of the fall/winter crop, which accounts for about a quarter of total corn production, is forecast to drop by 13% from the 5-year average due to lower planted area. The fall/winter corn yields are expected to be good despite restricted water resources. Sinaloa and the other corn producing areas had scattered showers and seasonably warm temperatures throughout the winter season. The fall/winter crop is expected to be harvested in May and June."

Additional highlights:

  • Egypt Corn: Production Estimate Revised Up, but Still Lowest in 15 Years
  • Argentina Soybeans: Harvest of First-Crop Proceeding Around Rains
  • Brazil Soybeans: Harvest Nears Completion with Lower than Expected Yields
  • India Cotton: Favorable Prospects for Current Crop
  • Indonesia Rice: Production Forecast Lower Owing to Lower than Expected Yields


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