Assuming the latest EU soft wheat crop forecasts are correct and also a 2 MMT increase in domestic feed wheat consumption, a minimum of 30 MMT will need to be exported this year. The current prices and pace of exports, however, could make that difficult to achieve. Milling Wheat The Black Sea market remained under pressure last week as demand is very slow. The forward positions (November/December/January) are offered at about $4/month carry, which buyers refuse to pay. The Russian government is studying the possibility of reducing the current export tax in an effort to increase the domestic price level. If the limit for calculating it is raised from 5,500 rubles to 6,500 (the level observed by the government), the export tax may fall from...
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
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.