Note that while next year's forecast regarding increases in protein pricing returns to normal 20-year trends for consumer inflation, it will be from a much higher base price level. Proteins will continue to be expensive outlays for consumers and at a higher level than in the past. Protein Inflation Big news this week in the food service sector was that Darden Restaurants has made a corporate restructuring to save $20 million in order to accommodate increased meat and dairy costs that it estimates to be an extra $10 million. According to the USDA's Economic Research Service (ERS), cattle prices increased 3.8 percent in September 2014 and are now up 31.2 percent compared with a year ago at this time, while wholesale beef prices are up 26.8...
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...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...
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.