U.S. biofuel makers are disappointed that U.S. EPA is not more aggressively pushing fuel blending, but their plight is consistent with the pandemic related faltering in global biofuel production. The International Energy Agency (EIA) says that 10 percent annual increases are needed in global biofuel production to meet the Sustainable Development Scenario. Instead, global production fell by 11.6 percent in 2020 due to reduced transport fuel use due to COVID. Production and utilization may increase in 2021 but it is unlikely to hit a full rebound. Production increases before the pandemic were short of EIA’s projections, rising 7 percent in 2018 and 6 percent in 2019. If policymakers achieve their goal of greatly expanding the ele...
Key Market Insights The broad market is locked in on this week’s Trump-Xi meeting in Beijing, but this is no longer just a trade summit. Increasingly, the meeting is becoming tied directly to Iran, energy security, and the growing global economic fallout from disruptions through the Strai...
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.