The three major global suppliers of sorghum are the U.S., Argentina, and Australia. China has been a critical market for U.S. sorghum in recent years but is less likely to be in 2022/23. Production was less than half the 10-year average due to drought in the southwest. Australia is most likely to capitalize on the vacuum since its crop was 77 percent larger than average. Like the U.S., around 60 percent of Australia’s sorghum production is exported. Argentina’s sorghum production was almost 15 percent better than average, but two-thirds of its output is consumed domestically, leaving far less to export. Although corn is cheaper and U.S. corn export commitments and shipments are down considerably from last year and the five-year...
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.