A common debate about a decade ago was framed as food versus fuel; should crops traditionally used for food instead be converted into biofuel, especially during a food shortage. Opponents of biofuel may continue to argue in favor of only crops for food but there was also a forecast of declining cotton production. In the food versus fiber debate, cotton was forecast by some to be outbid when it came to land utilization. As with many long-range forecasts, the cotton loss prognosticators got it wrong. The global area planted to cotton has been volatile but remains well above the reduced scale forecasted by some. The world cotton stocks-to-use ratio has similarly been volatile but on trend, both harvested area and surplus stocks would be calle...
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.