World Perspectives
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Rice is Tight

EU rice consumption has been rising at 1.8 percent CAGR at the same time production has fallen by 30 percent since 2018/19. Italy produces about half of the EU’s rice output, and it has suffered from drought. As a water intensive crop, climate change will have an outside impact on this staple. The other large producer of rice in the EU is Spain but it has entered a long-duration drought. Italy has led efforts to impose safeguards against rice imports, but they have increased to fill the supply/demand gap. Almost three-quarters of Europe’s rice supply is now imported, versus 28.5 percent for the U.S. Global ending stocks have tightened. The global FAO all rice price index is running 20 percent ahead of a year ago, though it has s...

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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.

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