by PressUruguay’s wheat and corn harvests to be lower than last season
Uruguay’s wheat and corn harvests: FAS forecast
The FAS has produced a forecast for the production of the main crops for the 2024-2025 marketing year. According to the report, Uruguay’s wheat and corn harvests will be smaller than in the previous season. However, local farmers are likely to plant more grain.
Forecasts for wheat
It is worth noting that Uruguayan producers have harvested record amounts of wheat in the past two seasons. The 2023-2024 harvest was 1.6 million tonnes, the largest in Uruguay’s history. Experts cite the following as the main reasons for the extensive harvest:
— favourable weather conditions;
— new approaches to crop cultivation.
These factors have resulted in a bumper harvest for local farmers. They plan to increase the area sown to wheat in the new season. At the same time, FAS analysts are forecasting a decline in production. They expect it to reach 1.3 million tonnes in 2024-2025, a decline from the 10-year high of around 800,000 tonnes.
There are also production risks. We are talking about the spread of the fungal disease, piricularia. Scientists predict that the pathogen will affect crops in many countries, including Uruguay. Researchers believe the main areas affected will be South America, parts of Africa and Asia. While the fungus does not like dry weather, wheat reacts negatively to heat.
Corn production overview
The past marketing year saw significant success in corn production, a record for Uruguay. For the first time in the country’s history, the harvest exceeded 1 million tonnes. The total crop was 1.6 million tonnes. This was mainly due to the influence of El Niño. In addition, farmers increased the area under cultivation to 205,000 hectares.
For the current season, the FAS predicts the corn harvest will be reduced by 35% to around 1 million tonnes. The following factors are putting pressure on the sector:
1. The value of corn on the world market fell by 40-50% during the year. This has reduced farmers’ interest in growing the crop.
2. Experts predict a dry spring and summer due to the influence of La Niña.
Another negative factor cited by analysts is the spread of corn diseases. Plots are experiencing stunted growth, and the risk is particularly high for the second crop. In addition, the disease has become active in the northern and central regions of Uruguay. Taking this into account, corn production could fall by 20-70%.
As for the other crops, the rice harvest in the current season will be higher than last year. In raw form, production will be around 1.4 million tonnes. Experts estimate the yield of processed grain to be 1 million tonnes. The sown area will reach 163 thousand hectares.