According to the latest Short-term Outlook from the European Commission, the agrifood sector on the Continent has been impacted by the economic shock, lockdown measures and uncertainty in similar ways to its American counterpart. Both have suffered less than other sectors of the economy. Maintenance of the just-in-time delivery chains has been damaged as consumption shifts from HRI to retail. The lockdown boosted demand for staple foods. The economic recession will impact demand, as will the asymmetry of the global geographic impacts. Higher value food products are impacted more, with dairy and beef currently hurting. Oilseeds are hurt by the drop in biofuel use. Unlike during the last crisis in 2010, there is no shortage of grains a...
What You Need to Know Today: Attacks between the U.S. and Iran intensified overnight and the U.S. Central Command reported that the U.S. naval blockade against Iran will begin at 3:00 PM CDT Tuesday. President Trump said the Strait of Hormuz is open to all shipping traffic, except Iran. In an...
Beef packer margins improved to -$172/head last week, up $31 from the prior week as sharply lower fed cattle prices more than offset a seasonal decline in the Choice cutout. The cutout fell to $382/cwt while fed cattle prices dropped to $248/cwt, allowing packers to recover some of the margin c...
Key Takeaways: Aquaculture is becoming increasingly important in meeting global seafood demand, gaining market share as wild-caught fisheries face production limitations. Superior feed conversion efficiency gives aquaculture a competitive advantage over traditional livestock production, with l...
From WPI Consulting
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.