One might ask why the big crop/big demand year of 2016/17 is much different from 2015/16 when there was an almost record U.S. soybean crop absorbed by then record demand. Some have characterized the current soybean market as an arm wrestling match between bulls and bears.USDA reported that the 2016/17 U.S. soybean harvest was 62 percent complete as of 16 October, which is virtually at the five-year average but behind last year’s pace. This month’s WASDE solidified expectations for a record yield and production exceeding 4.2 billion bushels. A U.S. soybean crop that large is impressive to say the least, but it is no more so than USDA’s forecast that total 2016/17 demand for U.S. soybeans will reach 4.1 billion bushels. Those two numbers rath...
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
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.