General Comments We cannot claim even the slightest expertise in the sugar market, sugar trading or USDA's price support program for sugar. According to what we have read, the sugar program works in ways that typically supports the price of U.S. sugar at levels well above world sugar market prices. Prices are supported by non-recourse loans against which processors put up raw sugar as collateral. The program defends against lower-priced imports through tariff rate quotas and marketing quotas imposed on U.S. processors when imports fall below a certain level. There are no limits on domestic production of cane and beet sugar.The sugar program was to operate at no budgetary cost to the federal government, although that restriction was later...
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
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.