Rain Pushes Argentina’s Corn Exports into Competition with the U.S., Brazil

Rain across Argentina’s Pampas grain belt has pushed back the harvest of the country’s biggest corn crop on record. As a knock-on effect, exports from the country will likely be pushed back past August, putting the country in direct competition with the U.S. and Brazil for market share.

Adverse conditions have resulted in Argentina’s corn harvest progressing 8.6 percent slower than usual compared to the five year average, according to the Buenos Aires Grains Exchange.

Argentina, which is expected to harvest a record 39 million tons, of which 60 percent was planted late in the season, typically exports fresh corn between March and July, giving it an advantage over Brazil and the U.S.

However, large amounts of corn from the world’s top three producers will likely be hitting the market in August of this year, increasing competition and resulting in even more pressure on grain prices and on global traders.

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