The Japanese refuse to liberalize rice imports, the Americans won’t budge on sugar subsidies and export credits, and Europe will never accept GMOs or hormones. Never say never. Trade Policy Problems President Barack Obama and Argentine President Mauricio Macri agreed to organize an effort at a bilateral free trade agreement. This comes at a time when political support in the U.S. for free trade is being seriously challenged. The president’s goals in this matter are laudatory but likely create some cognitive dissonance within the body politic. In fact, the underlying problems are competitiveness, unfair foreign trade practices, and public ignorance about both economics and science. President Obama and his successor have a great deal of wor...
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...