GOOD MORNING, Funds are long, it's dry in Argentina, China is back from holiday, and the USDA Agricultural Outlook Forum starts this morning. The Forum will release its acreage estimates and a full supply and demand data picture during the session. Given recent estimates, the 21/22 acreage numbers may provide the markets with resistance, but should probably not offer up too much of a surprise. In early remarks, Seth Meyers, chief economist for the USDA, said that while Covid-19 had an adverse impact on trade for most goods, agriculture proved to be resilient. The USDA raised the 2021 Agriculture export forecast to a record $157B on strong Chinese demand, though warning that recovery remains uncertain due to Co...
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.