The announced deal with Russia was a major force on the market today. The quad (Ukraine, Russia, Turkey, the UN) signed an agreement providing a possible pathway for Ukrainian grain and oilseed exports. The deal means that 22 MMT Ukrainian grain and oilseeds could be exported via the Black Sea over a 3-4 month period. Critically, this will free up storage for the next crop being grown this summer. Russia’s concession still needs to be analyzed for its intent, weighed for its potential to fall apart. The rationale is that Moscow wants relief for its own exporting hurdles caused by Western sanctions. U.S. banks have not stopped financing Russia’s crop export efforts and the Treasury Department’s OFAC issued a notice s...
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.