Argentina's wheat cultivation is shrinking due to drought

Drought in the northern and western wheat-growing regions of Argentina have meanwhile caused the Rosario Grains Exchange to revise their estimate of the area under cultivation downwards again. So far, however, the experts have left their harvest estimates at 18-19 million tons.
The sowing in the largest grain-growing region in South America is now almost complete. The next harvest starts in December.
The water shortage is the most dramatic in ten years. Last month, vegetation condition ratings were downgraded from good to bad for two million hectares.
Now south of Buenos Aires and in the province of La Pampa only 200,000 hectares have to be cultivated with wheat. In the north and west, however, the planned cultivation area was reduced by 100,000 hectares.
Rosario is currently assuming a wheat cultivation area of 6.5 million hectares. Before sowing began, the forecast was 6.8 million hectares.

Hansa Terminhandel GmbH
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