Argentine farmers are expected to increase soybean planting in the 2024/25 season, reducing the area allocated to corn. This shift comes in the wake of a devastating insect plague that impacted last year’s corn harvest and more favorable rain forecasts for soy.
Analysts predict this trend could lead to the largest expansion in soybean planting in over a decade, potentially enhancing global supplies as prices remain subdued. Argentina is the leading exporter of processed soymeal and oil.
In recent years, the area dedicated to soy has declined as it competes with corn for land. However, concerns about a potential recurrence of the leafhopper plague that affected corn crops could result in a reduction of approximately 2 million hectares (4.9 million acres) for corn planting, favoring soy instead.
Cristian Russo, head of agricultural estimates at the Rosario grains exchange, noted that a significant portion of the 2 million hectares not planted with corn will likely be shifted to soybeans. Last year, the Rosario exchange reported that 16.8 million hectares were planted with soy.
Earlier this month, the Rosario exchange reduced its 2024/25 corn planting area forecast by 21%, while the Buenos Aires exchange cut its corn area by 17%. Corn planting is set to begin next month.
Aníbal Córdoba, a farmer from northern provinces including Chaco and Santiago del Estero, mentioned that producers are increasingly incorporating more soy into their plans. He stated, “Our group usually plants 35% to 40% of our land with corn, but this time we’re going to do an average of 20-25%. Of what’s not going to corn, almost all will be replaced with soy.”