Useful Data: WTO Director General Pascal Lamy announced jointly with the OECD a new database calculating the value-added aspects of traded goods and services. Practically since its founding, the General Agreement on Tariffs and Trade (GATT) and now the WTO have been challenged to refute the perceived benefits of exports but disadvantages of imports. The database provides evidence that more open economies utilize imported inputs to boost export performance. While protected sectors in national economies will continue to argue for import protection, at least there will be more substantive counterarguments available to the broader population.As a sub-note, the data indicates that a relatively lower share of EU exports reflect foreign content,...
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.
What You Need to Know Today: U.S. weather is getting more attention this week as conditions vary greatly across the western, central, and eastern corn belts, with the different regions battling dryness and too much rain simultaneously. The ProFarmer Crop Tour began today in Indiana and Nebrask...
Key Takeaways: Argentina is on pace for a record corn crop and record exports in the current marketing year, with abundant supplies likely to keep the country highly competitive in global export markets. Argentina’s record exportable surplus is allowing it to offer highly competitive pri...