The outlook for U.S. wheat has been plagued by negatives of one sort or another for several years. One of the negatives has been falling and/or stagnant production. This has been due to incursions into traditional wheat land by more profitable soybeans and corn coupled with some outbreaks of adverse weather. U.S. wheat production has not reached 2.5 billion bushels since 2008/09. In fact, production since that year has not even reached 2.3 billion bushels.The volumes of annual U.S. wheat exports have been equally uninspiring. U.S. exports spiked to about 1.3 billion bushels in 2010/11 when drought reduced Russia's wheat crop and caused its government to embargo wheat exports. This forced buyers to seek replacement supplies fro...
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...
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.