We old-timers who have been involved in the grain business for many years (yes, there are a few of us left) have witnessed the benefits of trade first hand. For at least the last 60-plus years, exports of U.S. grain, soybeans and soy products have been a key fundamental factor in the balance between U.S. supplies and demand that determines their value. Whether exports are the most important factor in finding value may be debatable, but we would argue that they have been as critical in this regard over the long term as any other source of demand. Given this experience, the benefits to the U.S. of free trade unfettered by barriers seem crystal clear. In our view, support for free trade should be a “no-brainer.” Thus, we are surpr...
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.
What You Need to Know Today: USDA reports are delayed until Tuesday due to the federal holiday on Monday. Over the weekend, President Trump announced a ceasefire between Russia and Ukraine. Russia warmly welcomed and confirmed this ceasefire by conducting more strikes against Ukraine. Specific...
On Saturday, 10 October, at a campaign rally in Clarksville, Tennessee, President Trump said that the U.S. and Mexico would come to terms on a new trade deal, and he said Canada does not need to be part of the deal. Trump called the coming agreement with Mexico “great” but gave no d...
Key Takeaways: The United States has steadily lost global wheat export market share since the 1970s, falling from the world's leading exporter to a projected fifth place in 2026/27. The rapid expansion of Black Sea wheat exports, driven by improved productivity and export infrastructure, has r...