World Perspectives
feed-grains soy-oilseeds wheat

Where’s the Rationing?

The most important question for these markets over the next six to 12 months will be how the massive job of rationing corn and soybean demand gets accomplished. And the rationing job that must occur is indeed massive. USDA reduced total U.S. demand for corn by 1.5 billion bushels (37 MMT) just from the July WASDE to the August WASDE report. USDA trimmed U.S. soybean demand by 363 million bushels (10 MMT) from the July WASDE. These huge cuts are required because of the awful corn and soybean crops. It is very probable the production numbers will decline again on 12 September, and that will mean another round of demand cuts to hold ending stocks at minimal levels.Everyone has his or her own opinion of how this rationing will take place -- i...

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From WPI Consulting

Infrastructure investment due diligence

On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.

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