There has been much attention to, and discussion of, China’s declining two-way trade volumes. China is a trade dependent economy, with imports of many commodities and goods fueling its manufacturing and processing sectors and exports bringing in hard currency. China’s trade flows, however, are down so far this year. In U.S. dollar terms, first half 2023 (January through June) total trade was down 4.7 percent compared to 2022. Through August, exports dropped 5.6 percent and imports dropped 7.6 percent in value. This has raised the attention toward China’s tenuous economic situation. In agricultural trade, exports from the U.S to China have declined through the first seven months of the year by 17 percent, but by commodity...
The U.S.-Mexico-Canada Agreement (USMCA) enters its mandated six-year review on 1 July. The original intent of the review is outlined in Article 34.7, which obligates members to: Provide recommendations and decide on appropriate actions. Extend the USMCA for another 16 years and meet aga...
Key Market Insights Geopolitical Limbo: Geopolitical risk remained a key driver across global commodity markets today. President Trump stated that the Iran memorandum of understanding is not yet final and warned that military action could resume if negotiations fail. Both sides continue w...
Key Takeaways: Drought remains a major threat to global agricultural production, particularly in regions with limited rainfall and growing water scarcity. Commercially available drought-tolerant traits in corn, soybeans, and wheat have generally delivered modest yield improvements, limiting th...
From WPI Consulting
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.