Argentine corn premiums continue to decline, and the potential export surplus is close to 4.5 MMT. It may be difficult to find demand for such volume due to the entrance of Brazilian, U.S. and Black Sea corn for October onward. Corn The Argentine government decided to release 12.5 MMT of corn licenses for the large exporters. There presumably are still about 3 or 4 MMT available for small exporters and farmers to utilize. In all likelihood, however, those too will be transferred to the big entities. Several years ago, the small exporters and farmers decided to start trading corn and wheat abroad due to big export margins ($40/MT). As a result, the government started providing them with a portion of the total export licenses. However, expo...
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
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.