Higher Costs and Lower Profits for Brazilian Soybean Farmers in 2019 An analyst at Brazil’s investing banking firm Itaú BBA, Guilherme Bellotti, is predicting that the country’s soybean farmers will see higher input costs and lower profits in the next growing season versus the previous one. He expects the costs of fertilizers and pesticides to rise by at least 20 percent, partly because of higher costs to transport the products to the major soybean-growing areas due to the mandated minimum trucking rates. Farmers will also have higher costs transporting their soybean crop to terminals and ports for the same reason. Mr. Bellotti estimates soybean farmers’ margins in Mato Grosso will decline from about 2,155 reals (...
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.