Argy Wheat Crop Downsized To 9MMT

The Argy Ag Secretariat say that this season's wheat crop will now only yield 9mmt, down 1.1mmt from last month's estimate, and 7mmt below output a year ago.

Drought led to lower plantings this year and has persisted throughout the growing season, hampering crop development.

The crop is slightly over halfway harvested, they added.

With a domestic consumption of 7mmt, this would leave just 2mmt available for export next year. The USDA may want to look into this as their current estimate for Argy exports next season is 5.8mmt!

Brazil is traditionally the biggest export home for Argy wheat, and may well have to turn to the US for extra supplies in 2009.

Meanwhile 80% of the corn crop and 89% of the sunseed crop has been planted so far, said the Secretariat. Weather conditions remain largely dry, and neither crop is off to a great start.

Weather conditions for soybeans become more critical in January, analysts said.