GOOD MORNING, Prices continue grinding sideways into next Monday's July WASDE report. Traders continue to liquidate length and oilshare. Beans were higher at the start of the week on rumors of Chinese inquiries, though prices have weakened lately on the back of lower recent demand from China for Brazilian beans on the back of poor crush margins. Corn prices see pressure from tired bulls, better weather in the eastern Corn Belt as crops move through pollination, and the story that Chinese farmers increased their corn acreage sharply driven by high prices. China also incentivized their farmers to plant corn before 2009 which created an over-supply of this commodity for about 5 years. Same trend, different year a...
What You Need to Know Today: The U.S. and Iran reportedly agreed to pause hostilities to allow vessels to transit the Strait of Hormuz this week (theoretically, at least). There were some rumors of a possible Chinese blockade against Taiwan. Analysts are looking for the largest U.S. 1 June cor...
Proposition 12: The National Pork Producers Council (NPPC) has advocated for a fix to Proposition 12, the California animal welfare law, in the Senate farm bill. The House version of the farm bill included a fix, but the Senate bill, based on the discussion draft released by Chairman John Boozm...
Key Takeaways: Indonesia will raise its biodiesel mandate from B40 to B50 on 1 July, increasing palm oil–based diesel blending to 50 percent. The policy supports domestic palm oil demand and reduces reliance on imported diesel. Indonesia’s biodiesel program has steadily expanded si...
From WPI Consulting
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.