Regional News Black Sea wheat is getting pushed out of Southeast Asian markets due to rising freight costs. As freight rates increase ahead of the emissions restrictions required by the International Maritime Organization effective 1 January 2020, Australian wheat is becoming far more competitive to Southeast Asia than Black Sea wheat, which typically has a seasonal advantage during August. A large Australian supplier won business for six shipments of feed wheat to the Philippines for this fall/winter at prices that were $2-2.50/MT lower than similar Black Sea offers. Milling Wheat Harvest pressure and decreasing global wheat export offers are pressuring EU and Black Sea wheat markets this week. The August WASDE confirmed there is...
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: Dry bulk markets remain mixed with Capesize vessels seeing continued pressure from weaker demand while fixtures and rate strength gradually increases towards the smaller vessel classes. Tanker markets are pulling back from their recent highs as tonnage moves out of the Mid...
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.