The writing is on the wall that wheat export opportunities to Asian countries are likely to rise, especially for any global producer of a consistent product. The increases in global demand for corn and soybeans that have occurred in the past decade are somewhat reminiscent of events in the 1970s when the Soviet Union entered the global wheat market. In the case of wheat, corn and soybeans, a relatively sudden rise in demand resulted in sufficiently high prices to incentivize various nations to boost their production and enter the global export market. In each case, the expanding production eventually exceeded demand and there was a setback in price. However, the prior decline in global wheat prices did not result in the elimination of the n...
Infrastructure investment due diligence
On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.
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...
Monday, 25 May is a U.S. holiday, and both the markets and our office will be closed. Please note that the next issue of Ag Perspectives will be published on Tuesday, 26 May. The WPI staff wishes everyone a safe and enjoyable holiday weekend...
USDA’s monthly cattle on feed report was released today. The total number of cattle on feed in feedlots with 1,000 head or more capacity amounted to 11.6 million head, 102 percent of last year. Source: USDA, WPI Placements were up, but part of that is attributable to persistent drought c...