“It’s inexplicable that in the midst of wheat sowing, President Alberto Fernandez goes on to say that he wants to increase detention, but Congress is blocking it; “These statements make growers more and more skeptical about the political treatment of the crop, and as a result, they turn part of the planting area to other crops.”Criticizes the Tandille producer who has been cultivating grain for 30 years.

But his reprimands go even further: “It is inexplicable that because of these unfortunate statements, because of confidence, because of stock balancing and other intervention measures, Argentina has reduced the area planted with wheat, the food it urgently needs, compared to last year. “The world and it will generate foreign currency, which the country needs very much.”

In this unusual scenario, the southern producers of Buenos Aires sympathetically look at edible barley, for which they offer $ 330/340 per tonne at the January position in Quequén, and the brewery, for which they promise $ 380. The same conditions, without the risk of official intervention without these crops.

Cultivation with advantages

Diego Pass, a market analyst at AZ-Group, recalls that barley offers agronomic advantages over wheat in many places southeast of Buenos Aires: “It usually yields 500 kilograms per hectare more than wheat in the same soil and rain. At the same time, it will allow for higher yields of second-class soybeans due to the advancement of their planting date. ”

Implementation costs are not much different from wheat and range around $ 750 per hectare, plus leasing 14 cents per soybean per hectare. In the technology package, fertilization has a crucial weight, requiring $ 390 per hectare.

Assuming the pass, the pass sets a net limit of $ 536 per hectare for feed barley / soybean sequence, compared to $ 386 per wheat / soybean. If the barley and soybean yields mentioned above are not taken into account, the net feed margin for barley / soybeans may fall below $ 390 per hectare.

Finally, Passy warns that these numbers indicate that wheat is highly volatile and that each producer must make his own calculations based on his field yield and the prices he can access locally.