In December 2021, USDA Secretary Vilsack urged the industry to “get in a room” to hash out a consensus on addressing dairy policy. This weekend, the American Farm Bureau Federation (AFBF) hosted the Federal Milk Marketing Order (FMMO) forum in Kansas City. The meeting was convened to discuss reforms to FMMOs to fix shortcomings and unintended consequences of the regulated pricing system – many of which were exposed by the impact of COVID. Prior to the 2018 farm bill, under the FMMO, Class I prices were calculated by using the higher of Class III and IV advanced skim milk prices (SMP). In 2018, that was changed to an average of the two, plus a $0.74 per hundredweight premium. What happened during COVID was that...
What You Need to Know Today: Markets got a surprise with a corn yield of 181.2 bushels/acre in the October WASDE, above the average estimate of 177.6 bushels/acre and up from USDA’s September estimate of 178.5 bushels/acre. Although stronger demand is expected to absorb some of the addit...
Key Takeaways: On Friday afternoon, President Trump announced that Russia will “immediately supply over 300,000 Tons of Diesel Fuel” to the United States. The deal, typical of this administration, is light on details but promises an additional 500,000 tons in November and 1 m...
The USDA has lowered its 2026 red meat production forecasts slightly while forecasting a slight increase in broiler production. Beef is now projected at 24.802 billion pounds, 75 million pounds less than in September. Cow slaughter is expected to be up; however, this will be offset by lower ste...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.