USDA’s attaché in Argentina lowered its estimate for the country’s corn production and exports by 3 MMT each compared to USDA’s January World Agricultural Supply and Demand Estimates (WASDE) Report. The attaché reduced Argentina’s total corn production forecast to 51 MMT, compared to 54 MMT projected by USDA earlier this month. The production cut was due to dry conditions. The attaché kept corn harvested acreage at 6.8 million hectares even though more than 7 million hectares were planted. Farmers are chopping corn for silage due to dry conditions and lack of forage feed availability.
The attaché cut its forecast for Argentina’s corn exports in 2021-22 to 36 MMT, which would be 3.5 MMT under the estimate for 2020-21. In the Jan. 12 WASDE Report, USDA projected 2021-22 Argentina corn exports at 39 MMT.
Local forecasts predict drier-than-normal weather for February, which is the critical month for late corn. The attaché says if current dry conditions continue, further production cuts are likely.
