Macro Trends China’s Ag Investment Lags, Slows Rural Development Goals As reported by the China rural economy blog, Dims Sums, the central government is desperately seeking to increase investment in the ag sector to prop up rural economies. China’s Ministry of Agriculture and Rural Affairs (MARA) reported at the beginning of January that fixed asset investment in agriculture through the first eleven months of 2020 was up year-on-year by 18.2 percent. That compares to just 2.6 percent of total fixed asset investment across all sectors of the country’s economy. While the number seems impressive, as Dims Sums notes, it fails to recognize the massive fall-off that occurred in 2019 and the first quarter of 2020. In January o...
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.