# Argentina’s catastrophic drought clips recovery in S. American corn, soy output

> USDA cut Argentina's 2022-23 soybean crop to 33 million tonnes from 41 million, well below the average trade guess of 36.65 million. The nearly 20% reduction is the agency's largest monthly cut for Argentina's soybeans since at least 2009.

- Date: 2023-03-09 · published 2023-03-09T12:00:00.000Z
- Category: report · region Argentina · magnitude high
- Page: https://feedsoft.ai/events/13979-argentina-s-catastrophic-drought-clips-recovery-in-s-american-corn-soy-output
- Commodities: [Soybeans](https://feedsoft.ai/c/SOY.md), [Corn](https://feedsoft.ai/c/CORN.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md)

## Why it matters

A large USDA downgrade to Argentina's soybean crop removes significant supply from world meal and oil markets, supporting prices for soybean products and feed grains.

## Read by commodity

- SBM: bullish ▲
- SOY: bullish ▲
- CORN: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SOY | 2021-05-06 | [USDA forecasts drop in Argentine soyabean output and exports](https://feedsoft.ai/events/46935-usda-forecasts-drop-in-argentine-soyabean-output-and-exports.md) | +5.0% | -2.1% |
| SOY | 2023-02-01 | [Drought in Argentina creates tighter stocks in soybean and corn market: WASDE - RealAgriculture](https://feedsoft.ai/events/13986-drought-in-argentina-creates-tighter-stocks-in-soybean-and-corn-market-wasde.md) | -1.5% | -2.2% |
| SOY | 2026-07-10 | [FAS sees slight dip in Argentine soy output \| World Grain](https://feedsoft.ai/events/13787-fas-sees-slight-dip-in-argentine-soy-output-world-grain.md) | +1.3% | -1.9% |
| SOY | 2023-12-28 | [Latin American soy crush to rise in 2024 on crop recovery, higher biodiesel mandate](https://feedsoft.ai/events/32785-latin-american-soy-crush-to-rise-in-2024-on-crop-recovery-higher-biodiesel.md) | -4.2% | -8.2% |
| SOY | 2023-08-02 | [Argentine soyabean outlook driven down due to drought](https://feedsoft.ai/events/13956-argentine-soyabean-outlook-driven-down-due-to-drought.md) | -1.2% | -4.5% |
| CORN | 2023-02-01 | [Drought in Argentina creates tighter stocks in soybean and corn market: WASDE - RealAgriculture](https://feedsoft.ai/events/13986-drought-in-argentina-creates-tighter-stocks-in-soybean-and-corn-market-wasde.md) | +1.2% | -4.9% |
| CORN | 2023-01-13 | [USDA's WASDE trims South American corn crops - Grain Central](https://feedsoft.ai/events/37741-usda-s-wasde-trims-south-american-corn-crops-grain-central.md) | +0.4% | +0.2% |
| CORN | 2023-03-01 | [Corn, soybean usage cuts overshadow smaller Argentine crops](https://feedsoft.ai/events/37263-corn-soybean-usage-cuts-overshadow-smaller-argentine-crops.md) | +2.0% | +1.4% |

## Sources

- reuters.com: https://www.reuters.com/markets/commodities/argentinas-catastrophic-drought-clips-recovery-s-american-corn-soy-output-2023-03-09/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.