World Perspectives
soy-oilseeds

The Stubborn Soybean Market

The outlook for soybeans does continue to appear fundamentally bearish. However, soy complex futures seem reluctant to acknowledge just how bearish the situation seems to be.Consider the following:

The estimated 2013/14 world soybean carryover is a record-large 66 MMT. The U.S. produced a record 3.97 billion bushel (108 MMT) soybean crop for 2014/15. Brazil and Argentina are forecast by WPI to produce record 2014/15 soybean crops of 94.5 MMT and 56 MMT, respectively, putting total 2014/15 South American production at about 160 MMT. Estimated total world soybean production for 2014/15 is 315 MMT, up about 31 MMT from 2013/14. Total world soybean demand for 2014/15 is estimated to be 288.5 MMT, up about 15.5 MMT from 2013/14. Estimate...

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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.

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