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New corn harvest sees estimated drop and nearly $2 billion in losses recorded

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May 2, 2024

The leafhopper is causing significant damage in the countryside, leading the Buenos Aires Cereal Exchange to cut the corn harvest by 3 million tons, resulting in a loss of almost US$2 billion. The Buenos Aires Grain Exchange reports a decline in expected returns due to the late dates and proximity of the northern regions, as well as a rise in non-harvestable area. They anticipate an earlier start to the harvest.

In regions such as NOA, NEA, north central Córdoba, north central Santa Fe, Núcleo Norte, and Entre Ríos, there is an average non-harvestable area of 17% of the planted area. This has led to a reduced corn harvest estimate of 46.5 million tons, 3 million tons less than the last estimate and 10 million tons less than the initial projection for the campaign. The impact of this reduction in production has already resulted in losses of almost US$2 billion due to a lower corn value.

The leafhopper, which has spread throughout the country, is causing stunting in corn crops, attributed to the bacteria Spiroplasma kunkelii. The government has mobilized agricultural authorities from central and northern provinces to address the issue and coordinate joint efforts to combat the disease. Insecticides have been expedited to combat the pest.

Despite the decline in corn production, soybeans remain the primary crop in Argentina, with an estimated production of 51 million tons according to the Buenos Aires Grain Exchange. However, the impact of the leafhopper on crops in the north could affect this figure. The Rosario Stock Exchange highlights the ongoing effects of the spiroplasma disease in the core region.

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