BTN News: Argentina’s soybean industry, one of the key pillars of its agricultural economy, is facing significant challenges in 2024, with experts estimating a potential yield of 5 tonnes per hectare. However, the current average yield falls short, hovering around 3.2 tonnes, leaving a 34% yield gap. As the country braces for a La Niña weather event, strategies to address this gap are critical for maintaining profitability and ensuring food security.
Expert Insights on Soybean Yield Gap and Solutions
Santiago Lorenzatti, a member of Aapresid and co-founder of the consultancy Okandu, presented compelling insights at the 2024 Acsoja Seminar. He highlighted the untapped potential in Argentina’s soybean sector, particularly in the core region where yields could reach up to 6 tonnes per hectare for first-crop soybeans.
“The national average yield potential stands at nearly 5 tonnes per hectare, but we’re achieving only 66% of that,” Lorenzatti explained. This 34% deficit, according to Lorenzatti, could be narrowed by employing defensive strategies such as varying planting dates and combining different maturity groups. With La Niña conditions threatening lower rainfall, these measures are seen as essential to mitigating risks and closing the yield gap.
Climate and Crop Management Strategies for 2024
Facing a year of potential drought due to moderate La Niña, Lorenzatti emphasized the importance of adjusting planting schedules to ensure that the critical growing period does not coincide with the most severe weather conditions. By staggering the soybean planting dates and experimenting with a mix of early and late-maturing varieties, farmers can spread the risk and potentially maximize yield across different fields.
This proactive approach is crucial as the climate shifts and the region grapples with increasingly unpredictable weather patterns. Farmers are urged to adopt these practices to stay resilient in 2024.
Soybean Expansion in Northern Argentina
In the northern region of Argentina, Rafael Villagra Delgado from Efficatia shed light on a different but equally pressing issue. Following severe damage to maize crops caused by the chicharrita pest, many farmers are shifting from maize to soybeans, with soybean acreage expected to increase by 55%. This rapid expansion, while offering economic opportunities, also brings challenges.
“The increased soybean planting will lead to logistical bottlenecks and a surge in pest, weed, and disease pressure,” Villagra Delgado warned. Additionally, he pointed out a looming nutrient deficiency in soils, given the reduction in nitrogen inputs typically associated with maize cultivation. With a projected soybean price of US$286 per tonne by May 2025 and an expected yield of 2.8 to 3 tonnes per hectare, Villagra Delgado highlighted the slim profit margins, emphasizing the need for careful planning and pest control measures.
Water Usage and Soybean Cultivation Efficiency
Pablo Fontanini from the Bolsa de Cereales de Entre Ríos discussed the water efficiency of soybean farming across different regions. Using the concept of water footprint to assess water usage per tonne of soy produced, he revealed stark differences between locations.
“The most efficient water footprint was recorded in Marcos Juárez at 1,522 cubic meters per tonne,” Fontanini reported. In contrast, Paraná had a significantly higher water footprint, reaching 2,585 cubic meters per tonne, raising concerns about sustainability in regions with less efficient water usage.
Agricultural Infrastructure and Policy Reform
During the seminar’s political panel, Marcos Blanda, Secretary of Agriculture and Natural Resources of Córdoba, stressed the need for strong infrastructure to support Argentina’s agricultural sector. He pointed out that the state’s role is to enable production through investment in infrastructure, energy, and security. “We need clear policies that encourage value-added production and the development of the agroindustrial sector,” Blanda remarked, advocating for long-term planning that integrates soybeans, maize, and sorghum into a future-ready farming landscape.
In contrast, Guillermo Bernaudo, Minister of Economic Development in Entre Ríos, emphasized the dire state of infrastructure in his province. He outlined how the region’s roads and electrification systems are in poor condition, hampering economic growth. Bernaudo also took a firm stance on export duties, arguing that revenue from these duties should directly benefit local producers rather than being absorbed by the national government.
Conclusion: Bridging the Soybean Yield Gap in Argentina
As 2024 unfolds, Argentina’s soybean industry stands at a crossroads. With the potential to significantly boost yields and improve profitability, experts emphasize the need for adaptive strategies to counter climate risks and operational challenges. From planting date diversification to addressing infrastructure gaps, the path forward requires a coordinated effort between farmers, policymakers, and industry stakeholders.
By closing the current 34% yield gap, Argentina can strengthen its position as a global agricultural powerhouse, but only if it rises to meet the environmental and logistical challenges that lie ahead.
