MEDITERRANEAN/MIDDLE EAST/NORTH AFRICA/AFRICA – MEA REGIONEgypt will see the investment of $100 million by China’s New Hope Group in the expansion of its animal feed operations. New Hope currently has five production facilities in Egypt producing 650,000 MT of animal feeds which will be increased to 1 MMT. New Hope has a 10 percent share of the Egypt animal feed market.Sri Lanka said that locally produced maize ethanol is affecting animal feed prices and is undercutting the price of sugarcane produced ethanol. Maize based ethanol is reported to be 80 percent cheaper to produce than cane ethanol. Cane ethanol producers have asked that a minimum price be set for all ethanol in order to protect local producers and to help the animal feed indus...
What You Need to Know Today: The USTR says Brazil has committed “unreasonable” acts against global trade rules and is recommending at 25 percent tariff on nearly all Brazilian ag products (unclear whether this includes beef amid President Trump’s effort to lower beef prices)...
Key Takeaways: The Energy Independence and Security Act of 2007 set a goal of producing 16 billion gallons of cellulosic ethanol annually by 2022, but actual production reached only a small fraction of that target. High production costs, feedstock collection challenges, and technological hurdl...
Corn The U.S. has yet to ship any corn to China, though last year’s sales were a paltry 32 KMT. Soybeans U.S. soybean export inspections for May rose above the previous year’s level with China as the target market. Citing reduced demand for soymeal, the Ministry of Agriculture...
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.