Drought nearly halves Uruguay’s soybean crop

Uruguay’s soybean production in MY 2025/26 fell by nearly half due to drought. According to the country’s agricultural statistics agency, the crop was estimated at 1.975 mln tons, while planted area remained substantial at around 1.15 mln ha.

The decline was mainly driven by a sharp drop in yields. Average soybean yield fell to 1.721 t/ha from 3.121 t/ha a season earlier. A lack of rainfall in January and February had the biggest impact on crop development.

Lower production had a significant impact on exports. In January-August, soybean export revenue fell 46% year on year to $546 mln from $1.011 bln a year earlier. The loss in export revenue is estimated at $465 mln.

Shipments to China, which remains the main buyer of Uruguayan soybeans, fell 54% to $397 mln. China still accounted for around 73% of total soybean exports. Egypt, by contrast, increased purchases by 87% to $74 mln.

In August, Uruguay exported $86 mln worth of soybeans, down 70% year on year, while shipment volumes fell 72%. Despite the decline, soybeans still accounted for around 28% of Uruguay’s total exports to China during the month.

Tags: weather conditions, harvest, soybean, drought, Uruguay