India's sugar sector continues to suffer from low prices against the cost of production. Little change is expected unless the government of India (GOI) provides an incentive to boost ethanol production and ensures that the mandated blend rate to gasoline is met. Poor Outlook for Sugar Sector Without Ethanol Production Incentive Farmers want a higher price for their sugarcane as their costs to produce the crop have increased. According to those in Andhra Pradesh, the cost of production is currently $70/MT. If the M S Swaninathan panel recommendation regarding the Minimum Support Price (MSP) is implemented, the payments that farmers receive must be 50 percent over and above the cost of production. That would push sugarcane's State Advisory...
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 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
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.