Argentina’s 2020/21 wheat crop would reach 20.5 million tonnes, down from 21 million previously estimated, the United States Department of Agriculture (USDA) said on Wednesday in its monthly global supply and demand report of grain.

Argentina is a major world wheat exporter, but the north and west of its agricultural area have suffered from a significant water shortage for two months, which has impacted the development of wheat fields.

On the other hand, in its August report, the USDA maintained its forecasts for the 2020/21 Argentine soybean and corn crops at 53.5 million and 50 million tons, respectively.

Currently Argentina is the main world exporter of soybean oil and flour, the third global supplier of soybeans and corn