At the end of July 2024, WPI published an article looking at the drivers of the cocoa market’s massive rally in 2023 and 2024 and that offered an outlook for MY 2024/25. This article offers a brief update on market conditions and developments that have occurred in the two months since our last analysis. Short-Run Dynamics ICE cocoa futures have rallied sharply this week with the March contract up $669/MT amid tighter global stockpiles, currency dynamics, and West African cocoa production. ICE-monitored cocoa inventories in U.S. ports have been trending lower for the past 15 months and hit a 15-year low on Tuesday at 1.998 million bags. London cocoa futures also added to their gains this week when the British pounds slipp...
Key Takeaways: The Panama Canal’s draft restrictions and decreasing rainfall outlook are driving big moves in dry bulk markets this week. Panamax markets are sharply lower as the economics of moving freight across the Canal are deteriorating rapidly, leading to support in Supramax vessels...
Key Takeaways: Weather conditions in Europe have continued to deteriorate following both the EU MARS’ latest balance sheet update and the August WASDE, leaving “official” estimates lagging behind the reality observed on the ground. WPI’s models anticipate a 4 perc...
Mediterranean/Middle East/North Africa/Africa – MEA Region Egypt is the largest importer of Brazilian maize in the first six months of 2026. Egypt imported about 28.4 percent of maize exports, or about 1.7 million MT. Iran was the third-largest importer at 14.5 percent, or 900,000 MT, fol...
Key Takeaways: Brazil’s growing role in global agriculture is accompanied by a major vulnerability: the country imports approximately 88 percent of its fertilizer needs. High natural gas costs and development challenges have limited domestic nitrogen and potash production despite Brazil&...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.