Argentine wheat planting facing pressure from rival barley, politics
Argentine wheat sowing is likely fall this year as farmers calculate the risk of state intervention in the market while new Chinese demand for South American feed barley is expected to induce some growers to switch crops.
China’s usual barley supplier Australia has been sidelined due to a bilateral trade dispute. This leaves Argentina as a key supplier, along with France and Canada, to the world’s top commodities importer.
Wheat and barley compete for sowing area on Argentina’s Pampas grains belt. Both are planted around midyear.
“Barley will be an alternative for those who want to reduce regulatory risks for the season that is starting, although this option is only available for some farm areas,” said Ezequiel De Freijo, head economist at the Argentine Rural society, which represents some of the country’s biggest farmers.