China Plays Offense We discussed on Friday the worsening outlook for U.S. – China relations and today Beijing one-upped the Trump Administration. President Trump had been mulling whether to cancel the Phase One trade agreement and Beijing responded that he doesn’t have to if they do it for him. By taking the initiative themselves, they can frame Mr. Trump as impossible to work with and hope that by taking a side in the upcoming U.S. election, they can get a leader in Washington that is easier and less mercurial with which to negotiate. Agricultural markets will sink tremendously regardless of which side does the cancelling. The Trump Administration would likely retaliate with higher tariffs on Chinese goods but that also risks...
Key Takeaways: Dry bulk markets remain mixed with Capesize vessels seeing continued pressure from weaker demand while fixtures and rate strength gradually increases towards the smaller vessel classes. Tanker markets are pulling back from their recent highs as tonnage moves out of the Mid...
The Trump import plan for 300,000 MT of beef supplies used for ground beef, i.e., lean trim, from September through November has, according to Secretary Brooke Rollins, brought some relief to beef prices. The Executive Order states that the Secretary of Agriculture will analyze and review the m...
Key Takeaways: Texas illustrates the assumptions underlying the 2025 FMMO reform; Idaho exposes their limitations. The Southwest order blend (roughly 27 percent Class I, 32 percent Class III and 31 percent Class IV) exposes Texas producers to every lever USDA adjusted, with a near-neutral proj...
From WPI Consulting
Infrastructure investment due diligence
On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.