Argentina: Barley production forecast unchanged as planting window remains open despite substantial rainfall

A lack of moisture is not a problem across southern Brazil, Uruguay, and Argentina. This substantial rainfall is causing a delay in planting but the Argentine planting window remains open through the end of July, so plenty of time remains. Favourably, the forecast calls for clear skies and seeding should proceed at a good pace, RMI Analytics said in their late June report.

The experts’ barley production forecast for Argentina remains at 4.8 mln tonnes, supported by the seeding of barley under very good soil moisture conditions. Further north, extremely wet conditions may reduce wheat area but barley is not expected to be impacted.

Malting barley prices are up slightly, as farmer liquidity is limited as planting is the focus. Buyers’ price ideas are USD5-7/tonne below the values shown. China has been reported in the market to buy partial cargoes of feed barley to pair with sorghum exports. The decline in FAS prices is a further challenge, as farmers are already unhappy with margins.