A relatively wet winter: Cumulative rainfall for July-October period was 501 mm, +26% compared with the historical average for the same period (August and September were particularly wet). However, the climate of the last part of October and first half of November was more favorable, which should limit problems especially for crop activities.

Winter crop: 374 hectares were sowed with barley (expected yield of 3.5 tons/ha) and harvest will start soon. The partly heavy rain registered after sowing period are causing concerns about barley quality in Uruguay.

Most important factors limiting crop production are diseases, favoured by high moisture during spring time, and abiotic stresses such as excess rainfall, high temperatures during grain filling, and drought during part of the growing cycle mostly in late sown crops. Sowing time is June and July, but later sowing dates are frequent due to excess rainfall.

Cattle activities: Autumn service of heifers took place (insemination of 306 heads) and we are very proud to obtain a pregnancy ratio of 93%. They are in very good shape and have access to dense pasture.

Below you will find some young steers. You can notice the uniformity of the herd which illustrate work performed since year in genetic selection and ongoing hard work of the farm personal.

Climate vagaries are now affecting Uruguay. Increasing levels of the Uruguay River and its tributaries due to heavy rains have forced around thousands to evacuate their homes in Argentina, in Brazil and now in Uruguay. Here, the north-west of the country has been badly affected.

For your reference, the river flows from north to south and forms parts of the boundaries of Brazil, Argentina, and Uruguay.

Flooding Uruguay River

La Esperanza, our nearest farm which is located in Cerro largo department and bordering with the Rio Negro (a tributary of the Uruguay River), is currently affected by floods in the extensive cattle area where we intend to build a protection wall to prevent those events and release additional surface for crops and intensive cattle activities.

Excessive rain and the accompanying flooding are causing a variety of problems for crops activities (negative impact on yields, soil saturation, leach of nutrients, delays in harvesting and delivery, etc) as well as for cattle operation (animal stress, pasture contraction, increase in loss or death for the youngest categories mainly).

Uruguay has just concluded a new preferential trade agreement with China for soybean exports (free of any weed – Tolerance 0% of impurities). This implies costs increase of harvest process, cleaning, classification and logistics or export companies may translated it into lower prices paid (discounts or coverage of the risk in shipping) – it’s likely that it will end up by being a combination of both above consequences.

Trade Agreement with China (Soybean)

It is expected that Uruguayan farmers should register a new record in soybean harvest in the coming months. Expected average yield for the campaign should be between 2.6 and 2.7 tons per hectare- with a base of 2.4 tons per hectare, which represents 3.3 million tons of soybean.

Soybean Harvest

Cattle operation: Dense pasture fields offer a very good coverage for our cattle. We have currently around 3,700 heads of cattle in very good shape and of high quality as you can see on the picture or on the video below.

Below you can see some heifers which weighs between 360 and 440kg. The heaviest are going to be sold to the slaughterhouses and the other are going to Santa Maria feedlot.

Crop operations: So far, rainfall registered is in line with annual historical average -not shortfall was recorded in January or February which are key months for crops activities (blooming stage).

Soybean #1: 720 hectares are going to be harvested in 25 days. We increased by 30% the sowing surface of this crop as it is provide a better soil reconstitution then corn which was originally budgeted. Furthermore, given the high quality of pastures available at the farm, we don’t need corn as food supplement for the animals.

Soybean #2: This crop was not originally budgeted but as we decided not to sow corn and want to retain seeds for next cycle, we panted 54 hectares of this crop. A treatment for insect pest is going to be applied.

Rice: The farm is delivering very good quality and yield for this grain. However, it’s hard to compare it with our Paraguayan production as soil, climate and variety produced are completely different.

A relatively dry winter: Cumulative rainfall for July-November period was 419 mm, -21% compared with the historical average for the same period. So far, no rainfall has been registered in December.

Cattle operation (total herd 2,530 heads): Since September, breeding cows are recovering a good shape as they are fed with ryegrass and third year prairies. Males and females rearing have reached a daily weight gain of 500 grams – which is good. Those animals of lees than 1 year old are in very good weight and body conditions.

Agriculture activities:

Winter crop: Harvest of barley is completed (228 ha), we registered a yield of 3.5 tons/ha as budgeted.

Soybean #1: 484 hectares have been sowed and the crop is developing well so far (growing stage). Expected yield of 2.8 ton/ha.

Soybean #2 : the crop was sowed on the surface previously used for barley. We expect a good development for this crop.

Corn: 436 hectares of corn are in sowing progress. Expected yield of 5.5 ton/ha.

Cattle operation (4 250 heads):  Autumn service was complicated as natural pastures were affected by heavy rainfall and floods of the river which had originated in its Brazilian border. Heifers body condition before service was not the best which lead to a lower pregnancy rate than expected. Weather conditions improved since and meadows have recovery their forage production, improving general conditions of the cattle. Rearing heifers and steers are been fed with corn and soybean supplementation.

Agriculture activities: We finally decided not to sow corn as planned (304 has budgeted) and return to a more stable crop rotation : soybean / soybean – Pasture on the plots with the highest AG potential in order to improve forage resources and quality for cattle operation.

Soybean: So far, we are facing a very dry period which lead us to interrupt seeding process some days. Today,  330 hectares of soybean has been sowed, around 40% of the plan.

Rice: was sowed during the optimal period (323 has planted vs 328 has budgeted) and irrigation of the fields will start in November.

In addition, some new internal roads have been developed in-house to allow better services and manoeuvres for our operations.

Below you will see our barley at Santa Maria which is currently in very good condition. For the 2016/2017 cycle,  288 hectares of barley were seeded with an expected yield of 3.5 tons per hectare.

Given the frequency and amplitude of the Rio Negro floods next to our property, a feasibility study for the creation of a protection wall to be build in phase, was launched. Authorization process is in progress. Once the various phases will be completed, around 2,000 hectares will be protected and sustainable for crops or cattle activities.

Low lands to be protected for rice cultivation by the wall ; irrigation will came through a small existing reservoir, currently full of water as you can see.