Regional Updates MEDITERRANEAN/MIDDLE EAST/NORTH AFRICA/AFRICA – MEA REGION Egypt has decided not to set up a wheat hedging program for 2024/25 due to the recent weakness in wheat prices. Egypt has long talked about beginning wheat hedging but never seems able to make the final decision. With most of Egypt’s wheat purchases coming from the Black Sea, hedging can be a more difficult task. Egypt is planning to build six wheat silos in 2024 at a cost of $145.6 million. These silos will increase total storage by 420,000 MT to 4.62MMT. $61.5 million is being supplied by the French Development Agency with Egypt providing the balance of the financing. Egypt reports that its wheat reserves stand at 4.2 months consumption. ...
USDA’s monthly cattle on feed report for 1 July will be released tomorrow. Analysts’ pre-report consensus estimates are for the total inventory on feed to be 102.2 percent of last year. Those estimates imply an on-feed inventory of 11.327 million head. If accurate, that would be the...
Key Takeaways: The situation in the Arab Gulf is little changed this week, which is to say it is a day-by-day – and sometimes hour-by-hour – judgment call as to what is or will happen. There are some vessels transiting the Strait of Hormuz, but transits are a fraction of what they...
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...
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.