Argentina: Grain and Feed Update
Argentine wheat production for 2015/16 is forecast down at 10.2 million tons (mmt), 1.3 mmt lower than USDA. This is a result of an adjusted smaller area as the crop is unprofitable in most cases and to a lesser use of inputs. Exports are projected at 5 mmt, significantly lower than USDA official exports at 6.7 mmt. Barley production for 2015/16 remains unmodified. Non-feed use is set at 1.3 million tons, 100,000 tons lower than official USDA estimates. Corn production for 2015/16 is estimated at 21 mmt, 4 mmt lower than official USDA estimates. This is the result of a significantly lower area due to the lack of profitability and the challenge of selling production domestically. This output negatively impacts projected exports which are now set at 11.5 mmt, 4 mmt lower than USDA. Sorghum estimates remain unchanged. Rice production for 2015/16 is projected down to 1.25 mmt (rough production), 364,000 tons lower than official USDA estimates as farmers plan to cut area and only plant in fields with good production potential.
