Demand for U.S. corn and wheat isn't strong enough to change anything, at least not today, although soybean demand could make a difference. The domestic crush hasn't slowed, and U.S. origin is now reportedly competitive with South America.Last week's USDA crop production and ending supply estimates left little for the bulls to trade, at least through the balance of August and probably until the 11 September updates and WASDE revisions. The fact the USDA raised the corn and soybean yield estimates to their second-highest levels ever caught most in the market by surprise, although significant yield reductions weren't anticipated. In fact, the market wouldn't have been surprised if the yield estimates had been left unchanged. WPI has wri...
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.