Recent Rains in Argentina Mark ‘Inflection Point’ for Soy, Corn Crops

By Maximilian Heath

BUENOS AIRES, Feb 24 (Reuters) – Recent heavy rainfall across much of Argentina’s agricultural heartland is likely to continue over the next few days and mark an “inflection point” for the current soybean and corn crops, the Rosario grains exchange (BCR) said on Monday.

More than 100 millimeters (3.9 inches) of rain soaked farmland over the last few days, helping to cement a recovery from drought conditions and a heat wave that hit 2024/25 crops in late January and earlier this month.

Argentina is a major grains exporter, with sales from shipments of processed soybeans, corn, and wheat providing a key source of hard currency for central bank coffers.

“Precipitation over the last few days is marking a turning point for the agricultural cycle,” the BCR report said.

The report also cited Cristian Russo, BCR’s chief of agricultural forecasts, stressing the importance of rains this week for the health of the key grain crops, including in other major farm areas.

Earlier this month, the BCR cut its forecasts for the 2024/25 soybean and corn harvests due to dry conditions and high temperatures in the Southern Hemisphere’s summer, estimating the soybean crop at 47.5 million metric tons and corn at 46 million tons.

Meteorologist German Heinzenknecht, a specialist with the CCA consultancy, also pointed to the likelihood of more rainfall in the coming days, including over central, northern and northeastern agricultural areas, where additional moisture is still needed. He said he expects that the final stretch of February will mark a “humid transition” to March.

“The panorama is very favorable in terms of rainfall,” he added, while cautioning that rainfall expected this week could drench some areas in Buenos Aires Province with excessive precipitation.

(Reporting by Maximilian Heath; Editing by Richard Chang)