Argentine data show that persistent drought affects food production

Argentina's grain output for 2009/10 will be much lower than previously forecast due to continued dry weather in the western part of the agricultural belt, according to the latest forecasts released by the Rosario Grain Exchange.

Although some analysts believe soybean production will reach 55 million tons, Rosario Grain Exchange expects soybean production at 47 million tons.

Drought affected some regions, such as Cordoba, Santiago del Estero, western Buenos Aires and northern regions, meaning actual production figures could be revised downward rather than upward, the exchange said.

The Rosario Grain Exchange expects a total of 77 million tons of grain production this year, up from 63 million tons last year. Soybean production is expected to be 47 million tons, maize production 13 million tons, wheat 8 million tons, sunflower seeds 3 million tons, sorghum 2 million tons and other grains 4 million tons.