Argentina soybean acreage forecast to fall

Soybean planted area in Argentina is projected to contract by 1 million hectares in the 2025-26 marketing year, according to a report from the Foreign Agricultural Service (FAS) of the US Department of Agriculture.

The reduction in plantings is due to producers reverting to traditional corn rotations following a soy-heavy year driven by pest concerns, the FAS said.

It said the prior year’s soybean area expansion largely was driven by concerns over pest pressure from the leafhopper, which significantly reduced corn acreage in many regions.

“With much less prevalence and impact from (the leafhopper) this year than feared, farmers are expected to return crop rotations in favor of corn, a typical rotational pattern following a soy-heavy year,” the FAS said.

The FAS forecasts soybean planted area to fall from 17.5 million hectares to 16.5 million. However, Argentine soybean production is expected to hold steady at around 49.5 million tonnes due to a slight increase in yield.

“Production costs for soybeans continue to rise, and margins, particularly on rented land, are expected to be razor-thin or even negative in 2025-26,” the FAS said.

Notably, over 75% of Argentina’s soybean production occurs on rented land, with the remainder on producer-owned land, the report noted.

With soybean ending stocks at their highest level in six years, the FAS forecasts Argentina’s exports to rise approximately 17% in 2025-26, reaching between 5 million to 6 million tonnes.

Tags: crop forecast, soybean, Argentina