China Revising Supportive Procurement Policy for Grains China is revising its 10-year-old supportive procurement policy for grains. The new policy is expected to be an insurance system based on farmers' incomes and planting profits. It aims to protect farmers' incomes when natural disasters affect production or market price fluctuations erode profitability. The farmers will be encouraged to buy insurance based on their income, with about 70-80 percent of the premium to be covered by government subsidies. Soybean, rapeseed, cotton and sugar have been chosen as trial commodities. If this effort is successful, then major grains will follow including corn, wheat and rice. This revision is also reported to be helpful in preventing the cor...
What You Need to Know Today: Commodities were mostly lower across the board today after yesterday’s Federal Reserve meeting hinted at a potential interest rate hike later in 2026. The dollar index reached its highest level in over a year, and a strong dollar makes U.S. agricultural expor...
Tomorrow is the Juneteenth federal holiday, and the USDA, along with the rest of the federal government and the CME, will be closed, so the monthly Cattle on Feed report was released a day early. The total number of cattle on feed in feedlots with 1,000 head or more capacity on 1 June amounted...
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.