Under the US-Mexico-Canada Agreement (USMCA), Ottawa was to improve management of its dairy import TRQ’s and end Class 6 and 7 dairy pricing disciplines. The U.S. believed these changes would increase U.S. dairy exports to Canada by about a third, or $300 million. However, Canada has not loosened restrictions and they have increased imports from the U.S. by just $16 million or 2.4 percent. The result is that Washington will reportedly soon file a USMCA trade dispute case against Canada. Notable is the back story. The USMCA dairy provisions were pushed by U.S. Dairy Export Council CEO Tom Vilsack, also the former Secretary of USDA. Vilsack was the only Obama Administration Cabinet official to voice public support for his success...
What You Need to Know Today: President Trump claimed the ceasefire between the U.S. and Iran was over, as both sides accused one another of violating the terms of the agreement. Commercial vessels are increasingly steering clear of the Strait of Hormuz as security risks escalate following Iran...
Key Takeaways: The CME Group is launching new 90 percent Lean Beef and 50 percent Lean Beef futures and options contracts in July. There are five key factors that must be present in physical markets and futures contract specifications for futures contracts to become successful. The two l...
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.