Because China is such a dominant soybean importer, the crushers there think they have the upper hand in forcing sellers to renegotiate prices to a lower level, and they probably do. Many More Chinese Soy Purchase Defaults Predicted The general manager at one of China's largest soybean processing firms has told Reuters that Chinese buyers may soon default on an additional 1.2 MMT of soybean purchases from the U.S and/or South America. Mr. Shao Guorui of Shandong Sunrise Group said trading firms in Shandong province have refused to make payment for about 20 shiploads of soybeans that were delivered by the sellers to China before they received a letter of credit. Buyers are now unwilling to make payment because they will suffer losses of as...
Key Takeaways: Milk alone has not covered the full economic cost in any year since 2021: milk revenue fell short by $4.50, $2.15, $6.50, $1.27 and $2.34 per hundredweight in 2021 through 2025. Calf and cattle prices decided whether dairies cleared cost: cattle and other income lifted total rev...
Key Takeaways: Dry bulk markets are mixed with Capesize rates seeing solid gains while Panamax values slipped on a growing tonnage list. Supramax and Handysize vessels were stronger, though all sectors remain vulnerable to the seasonal dip in rates through Q4 and into Q1. Falling water l...
What You Need to Know Today: The Federal Reserve held interest rates steady at 3.75 to 4.0 percent Wednesday, with two officials dissenting in favor of a 25-basis-point increase. The Fed upgraded its assessment of economic growth from "solid" to "strong" but adopted a more patient approa...
From WPI Consulting
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.