Argentine Soybean Crushers in "Crisis Mode"

Argentina's soybean production for 2022/23, which could range from 27-28 million tons or even lower, is yet to commence as the harvest has not started. In the previous year, i.e., 2021/22, Argentina produced 43.9 million tons of soybeans. However, the current growing season has been beset with a series of unfortunate events, including the worst drought in 60 years, several waves of record high temperatures, record low temperatures, and even mid-summer localized frosts. Consequently, farmers are holding on to their existing soybean stocks and are reluctant to sell their expected 2022/23 production. In February, farmers sold only 622,300 tons of soybeans, which is a third of the 1.7 million tons sold in February 2022.