Wheat Wheat from the 2024/25 campaign remains a topic of discussion in Argentina, with conflicting views regarding the area to be sown. The reality of the situation is that wheat production margins have been improving in recent weeks due to the improvements in futures prices, but also due to a reduction in input prices. Although margins are still very close to the point where farmers debate whether to take the risk planting and the breakeven yields are high, they are beginning to generate some optimism. Increasing the planted area is unlikely to happen and – at best – farmers might repeat the same acreage as the previous campaign. Until a few weeks ago, everyone was talking about a reduction in area, while today some est...
What You Need to Know Today: The hot, dry weather forecast continues to drive strength in grain futures with corn and soybeans hitting another day of strong gains. Monday’s Crop Progress and Conditions data were in line with market expectations and showed relatively few concerns for the...
Yesterday we wrote about the Q1 GDP numbers and the June employment reports in an article entitled Real GDP for Q1 Relying on AI Buildout, Held Back by Consumer Spending. That article mentioned that consumer spending had become a drag on GDP. Nonetheless, real GDP in Q1 was revised upward to 2...
Key Takeaways: The Middle East and North Africa's arid climate and limited water resources have created a structural dependence on imported wheat. Government wheat tenders in major importing countries serve as important benchmarks for global trade, providing insight into exporter competitivene...
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.