World Perspectives
farm-inputs biofuel

High-Cost Energy/Ag Inputs Forecast

The U.S. Energy Information Administration (EIA) released its winter fuels outlook last week, forecasting rising prices for several key agricultural inputs.    First, natural gas will continue pushing up nitrogen fertilizer prices. While there are a number of factors at play in fertilizer prices including supply and delivery, crop prices, trade investigations (as WPI covered here), and natural gas, with the latter leading the way higher.  EIA is basing its forecast on colder than expected weather this winter and predicts natural gas prices will continue to climb.  The front-month natural gas futures contract for delivery at the Henry Hub averaged $5.11/MMBtu during September and was $5.68/MMBtu to close last week.&nb...

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From WPI Consulting

Infrastructure investment due diligence

On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.

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