Argentina’s soybean harvest, already delayed by weeks of rain, has stalled completely after fresh downpours drenched the Pampas farm belt, raising risks of fungal damage and further squeezing global supplies of soy oil and meal.
Key Developments:
- Weather Woes: Up to 50mm (2 inches) of rain saturated fields, halting combines after a brief dry spell allowed only 25% of crops to be harvested—9 points behind 2024’s pace.
- Quality Threat: Prolonged moisture threatens to spread mold, degrading yields in the world’s top soy processor. Meteorologists expect harvesting to resume by Saturday.
- Sales Rebound: After hitting an 11-year low in April, soy sales surged to 1.21M metric tons weekly as farmers cashed in to fund wheat planting. Yet just 26% of the 49M-ton crop has been sold, lagging normal levels.
Economic Impact:
- Government Pressure: President Javier Milei relies on soy export taxes to stabilize Argentina’s crisis-hit economy.
- Global Ripple Effect: Delays could tighten soymeal/oil supplies, buoying prices amid strong demand from China and the EU.
Argentina’s Soy Harvest Grinds to Halt After Torrential Rains, Fueling Fungus Fears