BUENOS AIRES, Feb 25 (Reuters) -
Rains in the last few days in Argentina's main crop belt arrived just in time
to avert serious damage to soy and corn crops after weeks of dry weather in the
world's No. 3 exporter, a meteorologist said on Monday.
Scant rainfall from early January
until the middle of last week pushed global grains prices higher on supply
concerns and spurred analysts to trim their production estimates. Many crops
are passing through yield-defining growth stages.
"From last Friday until now,
there has been some decent rain, especially in the main agricultural belt. That
means the damage has been limited and moisture levels have been restored,"
said Eduardo Sierra, a climate adviser to the Buenos Aires Grains Exchange.
"This should consolidate
production expectations," he added.
The grains exchange expects soy and
corn output of 50 million tonnes and 25 million tonnes, respectively. The U.S.
Department of Agriculture sees production at 53 million tonnes and 27 million
tonnes.
According to the latest weather
report by the Rosario grains exchange, between 5 millimeters and 25 millimeters
of rain fell across the country's main grains-producing region during the
weekend alone.
Argentina's most-productive farming
area straddles northern Buenos Aires and southern Santa Fe, Cordoba and Entre
Rios.
"This week we're going to see
some more rain and that means we're virtually safe to say 'we've made
it,'" Sierra said.
The agriculture ministry said last
week that showers had helped revive wilting soybean crops but that many were still
in urgent need of rain.
Global soy prices rose slightly on
Monday after falling to extend a sharp drop on Friday, pressured by rains in
Argentina, which is also the world's biggest supplier of soymeal and soyoil.
