Many are asking the net long-term impacts of China’s near embargo on purchases of soybeans from the U.S. The historical picture is very clear. The U.S. embargoes grain sales to the Soviet Union in 1980 and the Black Sea region is now once again the proverbial breadbasket to the world. Back in 1973, the Organization of Arab Petroleum Exporting Countries embargoed sales to about eight importing countries, including the largest at the time, the U.S. The global average price of oil jumped from $3/barrel to $12, though it was far worse for the U.S., since it depended on imports for 45 percent of its consumption. Economic historian Daniel Yergin contends that the oil embargo “remade the international economy.” ...
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...
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...
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.