Argentina: Oilseeds and Products Update

Dry weather and high temperatures in the last months of 2022 have damaged the Marketing Year (MY) 2022/23 Argentine soybean crop, particularly affecting first crop soybeans within a 125 kilometer radius of Rosario, Santa Fe Province. Recent rains will buy time for second crop soybeans, but better-than-average weather through February is needed for a substantial recovery. Post lowers its MY 2022/23 estimated production to 36 million metric tons (MMT), 9.5 MMT below the official USDA estimate. The drought is also affecting sunflowerseed and peanut production to a lesser extent. Post estimates sunflowerseed production at 4 MMT on lower-than-expected yields in northern production areas. Peanut production is lowered to 1.05 MMT on smaller-than-expected planted area and anticipated lower yields.