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: U.S. weather is getting more attention this week as conditions vary greatly across the western, central, and eastern corn belts, with the different regions battling dryness and too much rain simultaneously. The ProFarmer Crop Tour began today in Indiana and Nebrask...
Key Takeaways: Argentina is on pace for a record corn crop and record exports in the current marketing year, with abundant supplies likely to keep the country highly competitive in global export markets. Argentina’s record exportable surplus is allowing it to offer highly competitive pri...
From WPI Consulting
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.