Coronavirus Concerns China announced today that the additional marginal tariffs imposed on U.S. products on 1 September 2019 would be rolled back as the Phase One trade deal takes effect on 14 February. According to the Ministry of Finance, the tariff on two lists of products “listed in Parts 1 and 2 of Annex 1” will be cut in half. Those items facing a marginally increased tariff of 10 percent will now be adjusted to 5 percent and those facing a margin increase of 5 percent will now be adjusted to 2.5 percent. Among that list of products are a number of beef and pork offal products. It amounts to not much of a reduction in overall tariffs originally imposed back in July of 2018. But that won’t be much compared to...
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...
Tomorrow is the Juneteenth federal holiday, and the USDA, along with the rest of the federal government and the CME, will be closed, so the monthly Cattle on Feed report was released a day early. The total number of cattle on feed in feedlots with 1,000 head or more capacity on 1 June amounted...
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.