World Perspectives

Dollar Value Depresses Exports

The commodity weighted value of the dollar had been expected to decline in 2020 but instead the U.S. dollar index has risen nearly 4 percent, reaching its highest level in almost three years. Global concerns about the coronavirus may yet push it higher and raises concerns about the impact on U.S. agricultural exports.  The relative currency exchange rate impacts export competitiveness and is the reason the Trump Administration has been, some would say myopically, focused on policies affecting them. As a reserve currency and particularly as the primary safe haven in a crisis, a stronger dollar tends to reduce the income of commodity producers most dependent upon exports.  The impact will vary based on the currency being exchanged...

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Livestock Industry Margins

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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.

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