Sugar Prices Continue to Tumble Sugarcane processors (mills) should pay farmers for their stocks within two weeks of the harvest/purchase, and the government of India (GOI) had increased the prices in 2017 for sugar year 2017/18 (October-September). There is a lag period as the sugar is processed and sold, but traders normally buy forward and pay the mills. In addition, banks usually also provide help. However, both the financers (trade) and banks are absent this time, and the mills have fallen behind in their payments. They are also selling sugar at much below the market price to generate revenue. The aveage sugar price was $567/MT at the start of the season, but it has now dropped 13.17 percent to $491/MT on the spot market exchange. In...
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.