In the past week there has been a lot for the biofuels markets to digest and ponder, ranging from new numbers from EIA and USDA to the impact of the current political situation on key policy issues and the markets. First, the easier to grasp matters, are the recent data releases. Yesterday, USDA issued its bullish September grain stocks report as Matt Herrington covered last night. Total corn stocks were 314 million bushels below the industry’s pre-report expectations. The actual stocks of corn were 2.114 million bushels, which was lower than even the bottom end of the range of industry guesses (2.298 million bushels). The high end of the range was 2.5 million bushels, yielding an average estimate of 2.248 million bushels. Harvest pr...
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.