World Perspectives
feed-grains soy-oilseeds wheat

Mercosur Regional Analysis

There was a 20-cent decline in Argentine corn premiums during the past week as they moved down from the high 40s to the high 20s. This price drop is an effort to attract demand, but recent devaluation of the real has kept Brazilian origin competitive. Soybeans Demand for South American soybeans picked up this past week, although originating inventory from Brazil is more difficult due to the port strike in Rio Grande and the stout domestic demand from crushers in Matto Grosso. It should be noted that the recent export demand is primarily in the spot market, and that is creating somewhat of an inverse in pricing. This seems to have primarily occurred because the Chinese purchased less from Brazil than they actually needed for August-Septemb...

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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.

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