In the same way, the rain -which reached maximums of 100 millimeters (mm) of water fallen in certain points of the agricultural area- will benefit soybean planting, which was markedly behind schedule. “The beneficial thing about rain, apart from the fact that it is always beneficial when it is not in excess, is that generates moisture in the soil to advance soybean plantingthat the truth was also stopped by the lack of humidity”, explained Bahillo.
A report of the National Institute of Agricultural Technology (INTA) stressed on Monday that “the recorded rainfall improved the condition of the wheat crop in some specific areas“, but overall, the grain is between good, fair and poor condition.
Although cuts in wheat production estimates -which the Buenos Aires Grain Exchange (BCBA) now estimates at 12.4 million tons- Bahillo assured that the internal supply will be guaranteed and it is a “priority” for the Government.
For her part, the Rosario Stock Exchange (BCR) cut the wheat production estimate for the current season to 11.8 million tons, 1.9 million tons less than last October’s projection, as a consequence of the drought and late frosts. Thus, it would become the worst wheat crop in the last seven years.
“We are going to wait for the volume harvested. I want to be prudent. I estimate that, with the drought, we are going to lose at least six million tonslosing export business opportunities and foreign currency income,” said the secretary, although he clarified: “It is not that it will not be possible to export. In addition, everything that is needed in wheat for internal milling will be guaranteed.”
He pointed out that in a context of “very strong restriction in dollars”, it would be “a very difficult contradiction to explain that we have to import wheat to make flour“.
The Government extended wheat shipments at the beginning of the month to mitigate the impact of the drought that the crop goes through and that generated a productive loss of around 9 million tons compared to the previous season, which would seriously complicate the supply of the domestic market and the prices to be paid for the cereal by the wheat chain.
Regarding the situation of the meatBahillo recalled that the export “has practically no restrictions except in the case of the seven careful cuts”referring to the Strip roast, empty, matambre, skirt, roast cover, buttock and shoulder.
“We with great prudence and balance, Also taking care of internal supply, we have been authorizing export quotas in a very responsible and managed manner.; and today no exporting refrigerator has lost business because the government has not allowed them to export,” the secretary concluded.