USDA/FAS predicts that U.S. poultry exports to Mexico will continue to grow despite that country’s lackluster GDP growth. Mexican poultry production will increase this year due to falling feed costs, but U.S. poultry exports to Mexico will grow by 5 percent in 2023, reaching 1 MMT. Mexico’s trend toward importing U.S. poultry products will accelerate if Mexico City goes ahead with its proposed ban on GM corn from the U.S. This is because Mexico’s poultry price is highly correlated to U.S. corn prices. FAO data shows Mexican corn prices about 15 percent higher than U.S. corn prices, but that is with an unrestricted border. Mexico’s feed costs will rise substantially under a GM corn ban, and therefore so will its lives...
The U.S.-Mexico-Canada Agreement (USMCA) enters its mandated six-year review on 1 July. The original intent of the review is outlined in Article 34.7, which obligates members to: Provide recommendations and decide on appropriate actions. Extend the USMCA for another 16 years and meet aga...
Key Market Insights Geopolitical Limbo: Geopolitical risk remained a key driver across global commodity markets today. President Trump stated that the Iran memorandum of understanding is not yet final and warned that military action could resume if negotiations fail. Both sides continue w...
Key Takeaways: Drought remains a major threat to global agricultural production, particularly in regions with limited rainfall and growing water scarcity. Commercially available drought-tolerant traits in corn, soybeans, and wheat have generally delivered modest yield improvements, limiting th...
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.