Sensitive Sugar Situation in India India has so far contracted to export approximately 1 MMT of sugar against the government’s fixed target of 5 MMT. Despite dropping 3.49 percent in the past month, however, the Indian sugar price is still 21.06 percent higher than the world price, which the International Sugar Organization indicates has declined more than 10.3 percent in the same period to the currently quoted $340/MT. The government of India (GOI) has implemented several subsidies in the amount of Rs.11/kg or $150/MT, including for production and transport, to assist in sugar exporting. The state and federal elections in 2018 and 2019 were factors in this announcement, but it seems likely that these will lead to major problems for...
What You Need to Know Today: Commodities were mostly lower across the board today after yesterday’s Federal Reserve meeting hinted at a potential interest rate hike later in 2026. The dollar index reached its highest level in over a year, and a strong dollar makes U.S. agricultural expor...
Key Market Insights Geopolitical Limbo: Geopolitical risk remained a key driver across global commodity markets today. President Trump stated that the Iran memorandum of understanding is not yet final and warned that military action could resume if negotiations fail. Both sides continue w...
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.