Production in 2017-18 is forecast to decline by 43%, USDA says.
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MONTEVIDEO, URUGUAY — Due to the recent devastating drought, soybean production in Uruguay is forecast to drop to 1.7 million tonnes in 2017-18, according to an April 30 Global Agricultural Information Network (GAIN) report from the U.S. Department of Agriculture.

This is a drop of 43% compared to the USDA’s original estimate of 3 million tonnes.

As of March 23, only 3% of the crop had been harvested, the report said.

“Overall, producers will suffer noteworthy losses due to lower yields,” USDA said. “Land-owning producers may break even or achieve minimal returns without the additional rent expense, but based on information from local contacts, producers on rented area may lose at least $205 per hectare.”

Soybean crush for 2017-18 is revised down to 60,000 tonnes — a 20% decline from the previous crop year — due to lower soybean supplies.