Meat DemandChina is the largest consumer of meat, consuming 27 percent of world supplies and while pork has been the dominate choice, poultry demand has been on the rise along with beef. Poultry is winning due to price and its health halo, and beef is viewed as a premium product. The result is that the Ministry of Agriculture and Rural Affairs reported this week that the nation’s sow herd had fallen 3.2 percent to 40.73 million head. The number of pigs slaughtered is down 2.6 percent. Meanwhile, China is the world’s largest crusher of soybeans and continues to add to its capacity. There is an underutilization of capacity, but the ready supply of cheap feed leads some to believe that there will be a rebound in pork output.12042024china_...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...
We have described the long-term investment climate in crop and livestock production, using data primarily from the Bureau of Economic Analysis (BEA). The data provided background on the current investment climate and outlook for agricultural capital formation. Our conclusion was that investment...
Yesterday, the USDA released its monthly World Supply and Demand Estimates (WASDE), forecasting tighter beef and pork supplies and growing broiler supplies, resulting in a tighter red meat supply. Broiler production, however, continues to grow and is forecast to be up more than 3 percent. Beef...
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.