While the EU was able to mostly deal with its huge wheat supplies in 2014/15 through large increases in feed use and exports, it will have greater difficulty finding homes for its big 2015/16 crop in the context of the third consecutive year of record-large global wheat production.The world is awash in wheat, to use the old cliché, and the EU has done its part. Its 2015/16 wheat production is estimated at 155.6 MMT, barely less than last year’s record 156.5 MMT. During 2014/15, the EU was able to mostly deal with its huge crop through large increases of 3.4 MMT in feed use and 5.5 MMT in exports compared with 2013/14. Even so, ending 2014/15 wheat stocks were 13.1 MMT, a 3.4 MMT jump over the prior year.In the context of the third consecuti...
What You Need to Know Today: Chinese purchases of U.S. soybeans continued to accelerate, with USDA reporting another 558 KMT sold to China and 236 KMT to unknown destinations. Combined with sales announced Wednesday and Thursday, the latest purchases bring the three-day total to approximately...
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.