Argentina, one of the biggest exporters of wheat, may pull out from the world market due to drought-like conditions back home.

Argentina is not only one of the largest wheat growing nations but also the fourth-largest exporter of wheat in the world. However continuing dry weather till September is likely to slash the national output of wheat for 2009-2010 by as much as 28%. This means that for the first time in a century, Argentina will probably be not exporting wheat since the expected harvest of 6 million tons for 2009-2010 will be equal to the amount purchased by local millers, according to Eduardo Anchubidart who is an economist with the Buenos Aires Cereals Exchange.

Statistic yearbooks at the Exchange show that Argentina has been exporting wheat ever since 1910, the year when the Exchange began keeping records. last year Argentina shipped 11.2 million tons to the overseas market and is expected export 4.5 million tons in 2009 according to figures from the US Department of Agriculture. The produce from this year’s wheat harvest will put to the market in 2010.

If Argentina decides not to export wheat, one of the worst-affected nations will be neighboring Brazil which will be forced to look outside the continent for purchase of wheat.