As the debate on next year’s farm bill gets underway, commodity groups are considering what role the cost of production should play in crop programs such as the Price Loss Coverage (PLC) program. That was a topic of discussion at the Commodity Classic’s roundtable discussion with commodity group CEOs. Consider the historical perspective on the PLC: then-Senator Pat Roberts (R-Kansas) voted against the 2014 farm bill because as he said at the time: The new Price Loss Coverage Program contained in this conference report sets high fixed target prices and subsidies for all commodities and regions of the country. Roberts also noted that the PLC reference prices, set nationally, were at or above the producer's cost of product...
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.