There is good news for US corn and soybean producers!!! More evidence arrives showing Chinese soy demand is coming back. There seems to be an oversupply of bearish news for US crop producers. Ethanol production has been annihilated, meat demand is suffering, weather is good. All this adds up to a … [Read more...] about US Farmers Should Be Ecstatic Over China Buying Brazil Soy
How is it possible that crude oil is at negative values and ethanol prices are under $1 and the ethanol industry isn’t burning cash? Look at the comparison of margins from last week to the first of January. Ethanol production has declined by 45% the last 3 weeks. The sharpest decline in … [Read more...] about Ethanol Sitting Out the Energy Apocalypse
Talking with clients, our main concern today is the health and safety of our families and our work associates. It takes a huge support team to plant a crop. The current health threat reminds us how important the human element is to our team. Focusing on business. I am working my way to a little … [Read more...] about Is a Soybean Bidding War Imminent?
What Do We Know About Corn Demand In A Covid-19 Environment? U.S. Corn goes to: Ethanol 38% gross 26% net (adding back DDG) Feed 38% Export 15% Food, Seed, Industrial (not ethanol) 9% How is each segment impacted? Ethanol Cars in a garage don’t consume corn – that demand … [Read more...] about Corn Demand in COVID 19
China has apparently offered to purchase an additional $30 billion of US agricultural products as part of the new trade agreement. That sounds amazing! The additional purchases would apparently encompass ten commodities. I say apparently, because like much of the China trade news, it lacks any … [Read more...] about What Does $30B Look Like?