Rice harvest has restarted at the farm. We are expecting a good harvest in terms of yield (> 7 t/ha) and quality as we didn’t faced any water shortage during the irrigation period considering our seeding strategy.

Given the hydrological forecasts for the season and boom in input prices, we have decided with our partner GPSA only to sow 390 ha of rice for this cycle. Indeed, we were right given the drought faced in the region. We could fully mitigate our risk by using the water of our artificial lake of 480 ha to fully irrigate for the entire period our rice fields. Paraguay, South of Brazil, Uruguay and Argentina faced one of the worst droughts in recent memory which will deeply impacts farm exports. For example, the Buenos Aires Grain Exchange forecasts a further 20% drop in soybean and corn production for the season.

As a result of the drought, paddy prices should be at a high level for this season.