There was an FOB cargo of soybeans traded in Santos this week at +55 or 56 SK for April, while paper was bid at +50 SK. This seems to indicate port premiums are around 5 cents or less for Santos, which is incredibly low for that port. Soybeans Brazil’s soybean market is moving in a very particular direction. While paper Paranagua is becoming increasingly stronger, the FOB and CNF markets are not. The spread or difference between the paper Paranagua levels and the FOB levels for cargoes in Brazil formulate the port premiums. Paper Paranagua trades are always executed as a parcel in Paranagua without any load rate (just CQD). The port premiums reflect the difference between CQD and a cargo with 8.000 satafshex load rate plus the difference...
What You Need to Know Today: Chinese purchases of U.S. soybeans continued to accelerate, with USDA reporting another 558 KMT sold to China and 236 KMT to unknown destinations. Combined with sales announced Wednesday and Thursday, the latest purchases bring the three-day total to approximately...
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.