At the current export pace of about 3 MMT per month, Russia will dominate the wheat market until next spring. However, two variables could prevent the Russian wheat price from rallying much above the current level. Milling Wheat The Black Sea market is under pressure as new demand for nearby positions (August/September shipment) is difficult to find. The average estimate for the Russian crop is 60 MMT (approximately 2 MMT more than last year). The export pace from Russia's ports is slower than a year ago due to smaller demand from Turkey, Egypt and other importing countries in North Africa and the Middle East where the local crops were higher than last year. The Russian 12.5 protein wheat is by far the cheapest versus other origins...
What You Need to Know Today: A third U.S. border crossing (Columbus, New Mexico) has reopened to Mexican cattle imports following nearly two years of restrictions related to New World screwworm. The reopening could gradually improve feeder cattle availability, although more than 60 confi...
Yesterday, the USDA’s Agricultural Marketing Service (AMS) released a new report of negotiated cash purchases of cattle under the mandatory price report. The report included Colorado, New Mexico, Oklahoma, Texas, and Kansas. The goal of the report was to solve the confidentiality issues e...
Key Takeaways: U.S. soybean crushing began in 1911 and saw its most rapid expansion during the 1930s amid the broader agricultural and technology revolutions of the time. After peaking in the early 2000s, the soybean crushing industry went through a downturn as poor crush margins forced...
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.