The sizable spread between China’s domestic wholesale pork price and foreign-produced pork, which went as high as RMB 26.74/kg ($4.02/kg) in Shanghai this past June, has opened the door for record imports, and the market signals there remain quite bullish for the balance of 2016. Oilseeds Soymeal Inventories Top 1 MMT Ongoing sluggish demand from the feed market pushed China’s estimated soymeal inventory last week to 1.03 MMT, up 50,000 MMT (+5.1 percent) from the previous week. It was also the sixth consecutive week of increases. However, the total was 29.41 percent lower against the same week in 2015. Among the surveyed regions, the soymeal inventories in north China and Guangxi fell to 139,200 MT (-7.75 percent) and 75,700 MT (-14.73...
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...
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.