We previously reported that the Trump Administration EPA would likely “punt” on issuing the 2021 required volume obligations (RVOs) rule and leave it to the incoming Biden EPA. Specifically, we speculated that “a retroactive 2021 RVO would be issued next spring/summer” based on the history of the 2014-2015-2016 combined retroactive RVO. That now appears not to be the case. A proposed rule should come this month and be finalized in June. This means that the 2021 RVO would only be partially retroactive. The Office of Management and Budget’s (OMB) Office of Information and Regulatory Affairs (OIRA), which is the regulatory arm of OMB, has updated the agenda for the EPA’s 20 pending rulemakings as of...
Macro: Treasury Squeezes Yields, the Dollar Gives Way Today’s markets are offering a lesson in pressure: it rarely disappears — it simply moves. The U.S. Treasury stepped into the bond market after long-term yields surged to levels not seen in nearly two decades. By announcing plans...
Key Takeaways: With cattle supplies historically tight and packer margins deeply negative, beef processors are reducing excess slaughter capacity, with decisions over which plants to close driven by cattle availability, operating efficiency, and the ability to maintain high utilization rates...
From WPI Consulting
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.