After a tepid first quarter, demand from China's feed industry picked up considerably last week and decreased the nation’s estimated soymeal inventories by 160,000 MT to 920,000 MT (-14.81 percent). However, there are two key questions. Oilseeds Soymeal Inventories Fall Below 1 MMT on Rising Demand After a tepid first quarter, demand from the feed industry picked up considerably last week and decreased the nation’s estimated soymeal inventories by 160,000 MT to 920,000 MT (-14.81 percent). That total was 70,000 MT higher than the same week in 2015. There were declines across all of the surveyed regions. In northeast and north China, soymeal inventories dropped to 107,000 MT (-17.94 percent) and 85,500 MT (-20.66 percent), respectiv...
What You Need to Know Today: After a period of limited activity, USDA reported a sizeable 613 KMT in soybean export sales, including 330 KMT to China and 283 KMT to unknown destinations, potentially also China. The purchases represent a meaningful pickup in demand and bring China closer to ful...
Inflation is back in the driver’s seat, and agriculture is getting pulled in two directions. A stronger dollar is pressuring grains despite fresh Chinese buying, while renewed Middle East attacks lift crude oil. Higher energy prices can support commodities, but they also raise expenses an...
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.