Favorable weather in South America and Europe continues to improve crop prospects

Spring crops have started to be sown in Europe and the US amid rising temperatures, while heavy rains in South America are replenishing moisture reserves and improving the potential for soybean and corn yields.

The warm winter with heavy precipitation in Europe, including Ukraine, allowed to accumulate significant soil moisture reserves, which contributes to the development of winter crops and sowing of spring crops.

This week, temperatures reached 5-12°C, but they will drop next week. Short-term precipitation will contribute to germination.

According to the Ministry of Agrarian Policy of Ukraine, farmers in Vinnytsia, Odesa, Mykolaiv and Kherson regions have started sowing spring crops, which as of February 29 have already been planted on 22.3 thousand hectares, including 0.8 thousand hectares of wheat, 11.4 thousand hectares of barley, and 10.2 thousand hectares of peas.

In the United States this week, temperatures exceeded the norm, especially in the South, where due to strong winds, powerful forest fires began. In General, the weather with periodic precipitation contributes to sowing, but next week may be lower temperatures and increased rain, which will slow down the work, although it will replenish moisture reserves.

In the center and South of Brazil this week and next week will be rains, which will improve the condition of late soybeans, accelerate sowing of corn and crop prospects. In the central state of Mato Grosso soybeans have been harvested on 76% of the area, and 70% of the planned area has been planted with second crop corn. Sowing rates exceed last year’s, but they are delayed by frequent rainfall.

In Argentina, the front brought scattered showers, which will continue to improve the condition of soybeans and corn.

According to the Buenos Aires Grain Exchange, soybean and corn sowing has been completed, and harvesting will begin in April. The experts of the exchange estimate the soybean harvest in the country in 2023/24 MY at 52.5 mln tonnes, and corn – at 56.5 mln tonnes.

Favorable weather in South America puts pressure on soybean and corn prices, which are already at 3-year lows.

Tags: soybean, oilseeds, crop condition, Argentina, crop forecast, corn, grain, Brazil