The rail strike appears to have been diverted. That is a relief to ag markets, and to the livestock, poultry and dairy sector – especially those segments that are out of position for feed supply and rely on regular deliveries, such as dairy in California where feed deliveries have gotten dangerously low already this year, cattle feeding in the southern Plains, and broiler production. According to the National Chicken Council (NCC), broiler growers receive about 27 million bushels of corn and 11 million bushels of soymeal via rail each week. Also, consider that somewhere between 65 to 70 percent of ethanol is shipped by rail; a shut down would have led to lower production of ethanol and DDGS for feeding. In the end, the k...
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...
Monday, 25 May is a U.S. holiday, and both the markets and our office will be closed. Please note that the next issue of Ag Perspectives will be published on Tuesday, 26 May. The WPI staff wishes everyone a safe and enjoyable holiday weekend...
USDA’s monthly cattle on feed report was released today. The total number of cattle on feed in feedlots with 1,000 head or more capacity amounted to 11.6 million head, 102 percent of last year. Source: USDA, WPI Placements were up, but part of that is attributable to persistent drought c...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.