Recognizing risks and adequately managing them is a key function in the operation of any commercial activity, and it is especially so for agribusiness.The grain business, which is the accumulating, storing, transporting, merchandizing and processing of grain and oilseeds, has always been notoriously low margin and high risk. The best and perhaps only way to survive and prosper in it continues to be the application of proprietary efficiencies to large volumes so as to earn economies of scale while successfully managing risks. When we started out in the grain business so many years ago, small country grain elevators dotted the landscape throughout the Midwest and the Plains seemingly every few miles, and numerous regional merchandizing compan...
What You Need to Know Today: After a period of limited activity, USDA reported a sizeable 613 KMT in soybean export sales, including 330 KMT to China and 283 KMT to unknown destinations, potentially also China. The purchases represent a meaningful pickup in demand and bring China closer to ful...
Key Takeaways: Consumer spending is a key driver of the U.S. economy, and the latest retail sales data indicate that spending remains robust despite inflation. In September, total retail and food service sales rose more than 6 percent year-over-year, with food service spending up 7 percent and...
The Trump import plan for 300,000 MT of beef supplies used for ground beef, i.e., lean trim, from September through November has, according to Secretary Brooke Rollins, brought some relief to beef prices. The Executive Order states that the Secretary of Agriculture will analyze and review the m...
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.