USDA released its cattle on feed report today; as expected placements were down dramatically to 1.56 million head, the lowest total for March on record. Total inventory was down to 11.3 million head compared to 11.8 million head on 1 March. In the larger picture, the two big factors are the slowdown in slaughter capacity and the cataclysmic drop in food service demand. See Matt Herrington’s article regarding WPI’s latest update on packing capacity. The United Food and Commercial Workers (UFCW) union has reported that at least 5,000 meatpacking workers and 1,500 food processing workers have been “directly impacted” by the virus, as defined by: 1) testing positive; or 2) missing work due to self-quaranti...
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
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.