Despite a prolonged struggle to gain higher prices, DDGS merchandisers are reporting significant buying interest when FOB prices near $150/MT. WPI’s econometric models predict DDGS prices will increase by...It is no surprise that DDGS prices have struggled this year. From their high in June 2016 of over $230/MT to current prices near $148, ethanol plants and DDGS merchandisers have seen a continual erosion of the value of their product. Much of the recent pricing weakness can be traced to political events last fall. Between China’s tariff rate increase on U.S. DDGS and Vietnam’s ban due to contamination with the Ballion variety of beetle, U.S. merchandisers have found themselves with fewer places to move product and having to lower prices i...
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...
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.