South America is looking to get some stabilizing rains over this next week. Allendale commodity broker Greg McBride said they?ll appreciate these rains, but it probably won?t be enough for them to start to thrive.
?On the 1-to-5-day, we are looking at some very good rains for southern Brazil, some of those areas that were most affected by the dry, hot weather that we saw a couple weeks ago, so that will look pretty good so far as stabilizing those crops,? McBride said. ?Doesn?t seem as though we?re going to see them drive in that area, but the loss in those areas- or the depression that we?ve seen in some of those areas with their crops- should come back in the rest of the country, so we should see a little bit of an offset in that situation. On the 6-to-10-day forecast, there is some rain taken out of Argentina. Nothing right now that looks to be too oppressively hot. It is going to be something where things dry out a little bit for them. But then the 11-to-15-day does show that there will be rains returning to both of those areas. So, at this point, it does feel like we?ve gotten past the worst of the worst for their dry spell down there. We should continue to see rains flow in over the next two to three weeks at this point.?
McBride also provided an update on planting progress in Argentina.
?Right now, planting progress for corn in Argentina is at 87%,? McBride said. ?That would be behind the 5-year average of 92% and behind last year by about 9%. Their soybeans are pretty well planted at this point. We are at 97% planted. Last year, we were at 99%. The 5-year average is at 98%. So, no major issues or delays in their planting progress for soybeans. The bigger concern would be corn, as they are the number three exporter in the world for corn.?
McBride also talked about harvest progress in Brazil.
?They are about 5% harvested on their soybean crop at this point,? McBride said. ?That came as some news yesterday morning. It?s still very early. Montenegro is the main point that we?ll be watching down there because that is the bigger state that does start earlier and harvest earlier. If they stay on a pretty good clip down there, we should see an increase in their safrinha crop, which is their second crop corn. On the corn harvest, first corn is not exactly the big dog that we?ll be watching for, but they have started some harvest. It?s very light right now- about 6 to 7% down there.?
The team at Allendale can be reached by calling 800-262-7538, or you can visit allendale-inc.com.
