Milling Wheat The Black Sea wheat market is roughly unchanged despite the volatility in the U.S. and the EU. The weather in Russia improved this week as the forecasted rains for the end of May have started to materialize. The rumors that Russia may restrict grain exports (as it did in 2010) have been forgotten for the time being. The size of the Russian crop is estimated at around 52-53 MMT (versus USDA's 56 MMT). One of the major Russian analysts, Sovecon, is estimating wheat exports in 2012/13 at 14 MMT, about 7 MMT less than in the current campaign. The Ukrainian wheat crop is estimated at 13-14 MMT, about 7-8 MMT less than last year's, which means that the wheat exports in 2012/13 will be very limited. Kazakhstan has been hit by one...
Key Takeaways: President Trump announced $8 billion in additional agricultural assistance through the Harvest Fuel Relief Program, as USDA projects farm fuel and oil expenses will increase 28.8 percent in 2026. The package follows $12 billion in earlier relief, while government farm payments w...
Key Takeaways: A student group from the University of Chicago is protesting to bring back onion futures trading. Trading in onion futures was banned in 1958 following a spectacular bout of market manipulation that resulted in a corner of the physical market. The ban on onion futures led t...
Beef packer margins deteriorated to $141/head last week, down $55 from the prior week as fed cattle prices strengthened while the Choice cutout remained nearly unchanged. The cutout held near $373/cwt while fed cattle prices climbed $4/cwt to $224/cwt, narrowing processor profits. Despite the d...
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.