World Perspectives

Farm Bill Could Change PLC Reference Prices

Topics for consideration in the farm bill are starting to take shape. According to reports from Capitol Hill, one likely change in the 2023 farm bill will be the reference prices under the Price Loss Coverage (PLC) program, which are likely to get updated to reflect current markets. The PLC program was created in the 2014 farm bill, along with the Ag Risk Coverage (ARC) program.   PLC reference prices were set in the 2014 farm bill and haven’t been adjusted. The charts below show the evolution of commodity prices against the reference prices from the MY 2014/15 average price through the MY 2022/23 projected average. ARC The ARC program provides payments tied to historical base acres, not current production, of covered...

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Dry bulk freight markets were quiet this past week and continued the trend that has been present since mid-October. The quiet trade let rates drift lower with disappointment about the slow appearance of Chinese demand weighing on market sentiment. The U.S.-China trade deal was thought to be lik...

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Market Commentary: Corrections Lower, and Maybe Yet Lower

There was a “show me the money” attitude in today’s trading as caution replaced yesterday’s enthusiasm in both ag markets and on Wall Street. Let’s count the many sources of hesitation. Soybeans, meal, and wheat have all been overbought with high RSI’s. ...

WPI Grain Transportation Report

Dry bulk freight markets were quiet this past week and continued the trend that has been present since mid-October. The quiet trade let rates drift lower with disappointment about the slow appearance of Chinese demand weighing on market sentiment. The U.S.-China trade deal was thought to be lik...

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feed-grains soy-oilseeds wheat

Market Commentary: Corrections Lower, and Maybe Yet Lower

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livestock

Livestock Roundup: U.S. and Global Beef Markets

USDA confirmed last Friday, 31 October, that despite the shutdown several key reports will be issued, including the November Cattle on Feed report, scheduled for 21 November.  There will be no data from the October report, but that information could be available through the month-to-month...

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From WPI Consulting

Illuminating the value of technical research

On behalf of a commodity producer organization, WPI evaluated the outputs from a project that featured a $5 million investment into technical research over multiple years. WPI’s team captured the results of this extensive effort and synthesized them for presentation to the organization’s governing board; among the findings uncovered and presented for the first time was the development of genomic traits proven, via rigorous testing, to provide crop yield advantages of 50 percent or more to U.S. farmers in times of drought. Capturing measurable results from long-term efforts can be challenging. Educating clients on the dynamics of success measurement when quantifiable results are not readily available requires deep client-consultant collaboration and an ability to consider both near- and long-term client aspirations with market/policy dynamics – attributes that WPI brings to every consulting engagement.

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