Hey there, crop enthusiasts! We’ve got some exciting news from the fields of South America! Barchart just released their April 2023 Crop Production and Yield Forecasts, and let me tell you, we’ve got some interesting updates for you!

First off, we’ve got Brazil breaking records left and right. Even with a slight decrease in soybean production estimates, they’re still on track for a record-breaking year. Brazil’s corn production is forecast at a whopping 126.8 MMT, with a yield of 5,587.5 kg/Hectar, while their soybean production is set at 148.8 MMT, with a yield of 3,427.6 kg/Hectare.
 

But hold onto your hats, because Argentina is having a bit of a tough time this season. Barchart’s Crop Production Forecasts for South America indicate an increase in Argentina’s crop production for corn and a decrease in crop production for soybeans.  Argentina's corn production is forecast at 44.0 MMT with a yield of 6,382.7 kg/Hectare, while their soybean production is set at 41.3 MMT, with a yield of 2,419.5 kg/Hectare. Oof, that’s a bummer.

Now, you might be asking, what’s causing all these differences in yield? Well, it’s all thanks to La Niña. The impact of La Niña has been more pronounced in southern South America, specifically affecting the southern regions of Brazil, Argentina, and Uruguay. It’s interesting to note that historical data from the past 30 years indicates that low soybean yields in Argentina are strongly associated with La Niña, while there is no correlation in Brazil. This is probably due to the varying geographical distribution of soybean production in Brazil, which mitigates the effects of La Niña in comparison to Argentina.

So, there you have it!  The highs and lows of South American crop production this month. But don’t fret, you can always stay ahead of the game by subscribing to Barchart’s South American Crop Production Report here.