World Perspectives

Recession and Farm Income

The Purdue University/CME Group’s Ag Economy Barometer survey of farmers in March showed their economic sentiment dropping 47 points (28 percent), the largest one-month fall ever in the five-year old index. Farmers went through a two-year trade war that saw their exports to their largest market, China, drop but they maintained a positive viewpoint. The COVID-19 crisis has farmers fearful, but should they be? The U.S. and global economies are going into a recession of a yet unknown depth and duration. However, the impact on farm income is unclear. During the eight years out of the last 60 in which the U.S. economy had negative GDP growth, the net cash income earned by farmers fell in half of those years but rose in the other half. The...

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From WPI Consulting

Infrastructure investment due diligence

On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.

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