Argentina's soybean crop sinks due to drought

In recent days, the US Department of Agriculture (USDA) announced yet another cut in its forecast for the Argentine soybean harvest due to the summer 2022 drought. A reduction of another 8 million tons, compared to the February indications, which brought the country's soybean production forecast to 33 million tons, the worst result in 14 years. The prospect, according to analysts, will have considerable implications on the world trade in soybeans, widely used for the extraction of oils, but also for the production of cakes and flours to be used for animal feed. The latest estimate on the Argentine harvest could also undergo further downward corrections, based on the experience of the previous two dry years, those of 2009 and 2018, which turned out to be significantly worse, in terms of impact on yields, compared to the initial estimates. However, there are those who suggest a less negative reading of the data, starting from the observation that the aggregate production of Brazil, ...