Unlike other animal protein products, dairy was in trouble before the COVID-19 crisis. The problem has been a failure to grow demand as fast as production is expanding. Demand has been growing at 0.92 percent per year, slightly less than the 1.02 percent yearly expansion in the global population. However, production has been increasing by 1.97 percent per year, or roughly twice the annual rise in per capita consumption. Pig meat production was also expanding slightly faster than population growth before the ASF outbreak, and poultry output has been increasing at twice the rate but neither has had over-supply problems. This indicates a larger failure to grow the demand for dairy. ...
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
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.