Brazil's exchange rate weakened this past week, and that could encourage an expansion in the country's soybean production to 100 MMT compared with last season's approximate 95 MMT. Soybeans Brazil's exchange rate weakened to four reals per U.S. dollar this past week. That could encourage an expansion in the country's soybean production to 100 MMT compared with last season's approximate 95 MMT. The prospective returns from the Argentine soybean production are less appealing because of a higher domestic inflation rate that is basically erasing any potential advantages from a weaker peso. Obtaining a stable income in Argentina is more difficult when the annual inflation rate causes the cost of production to rise by more than 25 percent. Neve...
Grains posted strong gains today, putting the bulls firmly in the driver’s seat. There was no shortage of fuel for the move, with three W’s driving the rally: weather, war and worry. Weather: Cooler temperatures are temporarily easing stress across the Northern Plains and Midwest, b...
Key Takeaways: Global and U.S. cotton demand has struggled since the post-COVID-19 pandemic surge, which has left cotton prices drifting lower in the U.S. The war in Iran and the closure of the Strait of Hormuz, along with their impact on global energy markets, could boost cotton demand...
Key Takeaways: Persistent labor shortages are increasing operational challenges and costs across U.S. agriculture, particularly in labor-intensive sectors such as specialty crops, dairy, and meat processing. Immigrant workers, including H-2A employees, remain essential to the agricultural work...
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.