Russian Grain Markets: 17–21 July 2023 Russian farmers continue harvesting winter crops and the progress is quite good with grain crop forecasts totaling 134.5 MMT of which 86.5 MMT is wheat. Local analysts increased the forecast. The worst-case scenario is 123.5 MMT of grains with 79 MMT of wheat. The barley crop is forecast at 19 MMT while corn is 15.4 MMT. The announcement of Russia quitting the Black Sea Grain Initiative (BSGI) was almost immediately followed by bombing of Odessa’s port infrastructure. Global markets reacted immediately, while Russian markets will have to adjust to step-by-step as there is no futures trading in Russia. With Russian RUB remaining relatively stable and reference prices going down, the...
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
We have described the long-term investment climate in crop and livestock production, using data primarily from the Bureau of Economic Analysis (BEA). The data provided background on the current investment climate and outlook for agricultural capital formation. Our conclusion was that investment...
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.