Russian Grain Markets: 27 – 31 March 2023 International traders, after one full year of war in Ukraine, have finally made up their minds to leave Russia as the business environment in the country is probably one of the most unpredictable in the world. Bunge was one of the first large international grain trading companies to leave and now Cargill, Viterra, ADM, and Luis Dreyfus have announced that they will suspend grain export trading activities during the upcoming season. During the past decade, some of these companies invested not only in grain storage facilities but also in grain terminals in the ports as well as the crushing industry. Multinationals are selling their assets to Russian businesses one after another as...
What You Need to Know Today: The corn and soybean markets closed slightly higher in low-volume trade. The wheat market was mixed, with HRW continuing its downward trek on improved moisture. As expected, the bearish cattle on feed report drove down cattle prices and pulled hogs down with it. Mi...
Key Market Insights Macro markets delivered a full whipsaw today. Early in the session, crude oil had rallied back above $100/barrel as traders priced renewed concern over the U.S.-Iran standoff and potential supply risk through the Strait of Hormuz. That strength helped pull grains off their o...
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.