It is difficult to predict what the final farm program payments will be as based on harvest prices, contract prices, acres harvested and the like, but the savings from the farm bill are likely already spent – and then some.On 15 July, we reported that the likelihood of increased farm program payments was strong, given the bearish markets and the new farm programs. Now in mid-September and close to harvest, this is almost a guarantee. It is difficult to predict what final payments will be based on harvest prices, contract prices, acres harvested and the like, but the savings from the farm bill are likely already spent – and then some.Current corn, rice, cotton, sorghum and wheat prices already would trigger payments under the Price Loss Cove...
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...
Key Market Insights Macro markets delivered a full whipsaw today. Early in the session, crude oil had rallied back above $100/barrel as traders priced renewed concern over the U.S.-Iran standoff and potential supply risk through the Strait of Hormuz. That strength helped pull grains off their o...
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.