Low prices and weak or no profits are spurring a resurgence in marketing interest among farmers, and there are several steps that each can take.There have been numerous media stories on the poor financial outlook for farmers because of the current low price environment (see http://www.startribune.com/dark-clouds-loom-for-farmers-and-their-bankers-as-crop-prices-languish/388797251/ as one example). Without wishing to belabor the point, low prices and weak or no profits are spurring a resurgence in marketing interest among farmers. The old saying “What goes around, comes around” has been proven to be accurate on a number of occasions over many years. Everything is cyclical. Following are some thoughts on the latest trends circulating, none of...
On Saturday, 10 October, at a campaign rally in Clarksville, Tennessee, President Trump said that the U.S. and Mexico would come to terms on a new trade deal, and he said Canada does not need to be part of the deal. Trump called the coming agreement with Mexico “great” but gave no d...
In a letter last week to President Trump, Zippy Duvall, president of the American Farm Bureau Federation (AFBF), wrote that diesel prices are squeezing farmers’ margins. As Duvall wrote: Higher diesel expenses are hitting farmers at one of the most fuel-intensive times of the year —...
There was encouraging news over the weekend: the White House may reject the misguided idea on Capitol Hill to ban U.S. diesel exports. What WPI has noted previously was perhaps best put by a Department of Energy report of 2022, under the Biden administration: Petroleum liquids markets are globa...
Key Takeaways: Diesel accounts for about 64 percent of U.S. farm fuel spending. For farmers, the pressing question is what a higher price adds to each field operation. Iowa farm diesel averaged $5.50/gallon in September, compared with the $2.89/gallon Iowa State assumed for its February machin...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.