On Wednesday night of this week, ethanol mills that were interested in buying surplus sugar under the Feedstock Flexibility Program (FFP) were required to have submitted bids on the sugar offered by various sugar mills through the program. The FFP is intended to avoid sugar loan forfeitures to the Commodity Credit Corporation (CCC) by requiring the diversion of sugar from food use to ethanol production. The amount that sugar mills could offer in this first invitation was limited to sugar under loan that matures in August. That limits the potential offers and purchases to 118,000 short tons (ST).About 84 percent of that potential amount was actually offered up by sugar mills at a total of 99,375 ST consisting of 69,375 ST of raw cane sugar...
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
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.