Wheat There were no major developments in the wheat markets last week. Production estimates remain unchanged from what WPI has reported over the past month. Argentina’s export surplus is still forecast at 6.5 MMT, but that volume could be cut further. The Buenos Aires Grain Exchange reported a 10 percent advance in the harvest with yield still well below historical averages and the low end of expectations. The harvested area is mostly in the north of the country with yields ranging from 0.5 to 1.0 MT/ha. There is a lot of nervousness in the milling industry in this area, which will have to travel 800-1,000 km to procure wheat. Bolivia, the main buyer of Argentine flour from the north of the country, could be the main victim of...
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...
We have described the long-term investment climate in crop and livestock production, using data primarily from the Bureau of Economic Analysis (BEA). The data provided background on the current investment climate and outlook for agricultural capital formation. Our conclusion was that investment...
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.