Summary
The extreme and protracted draught situation affecting a large part of the mainland continues to seriously damage agriculture. Losses are high and, in general, extend to all sectors. The cereal season is forecast to be the worst for the last two decades; spring/summer crops are delayed and producers show concerns due to the uncertainty related to restricted water supplies for irrigation. Forecasts point to a broadly based decline in surface cultivated. In livestock production costs are on the upside, due to extraordinary recourse to feed supplement.