"Two megatrends are colliding.. Growth in Pork Production and DDGs as a new cheap feed source.
In 1998, when the U.S. ethanol industry was in its infancy, about 1.3 million metric tons of DDGS was produced, with only about 52,000 tons (4%) fed to swine. Today, more than 37 mmt of DDGS are being produced, of which more than 5 mmt (14%) are being fed to swine domestically, and another 13 mmt (35%) are being exported for use primarily in swine and poultry diets in Asia and Latin America.
So much so that now Brazil is pushing Corn based ethanol..
The wave of fresh interest from some of the world’s biggest energy and grains players suggests corn ethanol is ready for the big time in Brazil, where sugarcane has been virtually the only source of ethanol in the world’s No. 2 producer of the biofuel.
The impact on commodity markets could be far-reaching, as new plants challenge U.S. ethanol for sales in northeast Brazil and dent corn exports, which grew fourfold in the past decade.
Few expected such an avalanche of investment two years ago, at the launch of a pilot project producing corn ethanol in Brazil’s top grains state of Mato Grosso, but its profitability has sparked a wave of copycats.
The fresh interest from COFCO, AMaggi and the world’s No. 1 sugar producer Raizen - co-owned by Royal Dutch Shell Plc and Cosan SA — could quickly ramp up Brazil’s nascent corn ethanol industry.
The country already has eight plants converting the grain into biofuel, plus six under construction and at least seven more in design phase. By comparison, Brazil has 349 plants producing ethanol from sugarcane, according to the country’s agriculture ministry.
Are we at a Second Wave boom? Supposedly some US Ethanol plants were potentially on the auction block.. the market might be surprised who was willing to step up to buy them.. just to source the DDGs side of the equation.
"A billion dollars eh? No problem..""
Anyone that says they have their house in order is fibbing, because no one knows how this is going to turn out. My calculations are once the national debt surpassed $6 Trillion, it became unpayable, so it`s 4 times that now..make of that what you will.
The debt will have to be written down, lenders will be taken down to the local Great Clips and given "haircuts". That will work fine...I`m too hardup to care, however after that this country will be FORCED to live within their means, how you reckon that`s gonna work out? The unfunded mandates north of $100 Trillion (Dr Evil, that much money doesn`t exist!) .
The 20 Donkeys on stage promising free healthcare, free college, amnesty, reparations and moar moar moar! are promising things that won`t come to fruition even if every billionaire and millionaire was taxed in the 100% bracket.
Scroll down to the breakdown of the China suspected purchases.
I'm planning on my chicken feet futures position being Quite a windfall...
There's an art to eating chicken feet, ya know
Something to ponder as a side market for farm folks who aren't expecting the Chinese corn/soybean-buying fairies to drop a pot of gold on their doorsteps in the near future and are willing to look at other possibilities...
There is a HUGE market for freeze-dried vegetables, meats, and fruits. They sell for, example, between $1.00 an OUNCE for a product like freeze-dried non-organic green peppers and $4.00 an OUNCE for fruits like non-organic blackberries. If your state hasn't completely succumbed to socialism and still allows capitalism and cottage industries, you and yours might be able to sell freeze-dried at farmers' markets and other close locales to add income. There is even a market for freeze-dried sweet corn.
China wants over $1 billion in chicken feet...but turn up their nose at Durcade corn??? It is not "one world" as Paul Harvey used to say. My county still pays a bounty on gopher feet a buck or two I think for the front pair of feet, maybe the Chinese would buy them too. But then we`d have all these 2 legged gophers running around.
Keep in mind the National Debt to GDP was 121.7 % in 1946 , vs. today of 105 .4 %, IF that is any consolation prize - - -
Meanwhile, the only thing being with low income , some of US don't get in on the tax - cut goodies of bringing back hidden, off shore $$$$$, to prop up our stock buy backs - - -
If ONLY, we ALL could be a displaced jet builder C E O, with a $39,000,000.oo , yur otta here deal - which might be called , buy - bye OR buy - bye - - ? ?
Followed by, Severance Package benefits, usually, don't affect Social Security benefits , and also the section 351(a) or 368 (a) & stock option ( granted ) may not apply, combined with A M T, which also might have N S O or R S U implications - maybe - ?? ?? ?? did u get all that - maybe - ????
$39,000,000.oo , divided by $9.oo bu. / beans, seems like , amounts to, 4,333,330 bushels, or approximately 100,000 acres (769 - 1/4's sections /130 acre circles) of 43 bushel yield , (bad year ) - - -
Airplanes vs. soy , you decide - who , might have , the most pull, on K Street ?
China probably needs soybeans (from exports) more than they need jet airliners. However if we`re honest more high tech workers are employed building jet airliners than 75yr old high school graduate farmers babysitting their EZ Steer planting beans.
NPR did a piece on the atrocities in China, apparently the United States is the only country in the world sanctioning them. NPR didn`t give President Trump credit of course, but those concerned with human rights are on the same page as the Trump administration. My apprehension is that we get a trade deal and the $12 beans and $120 lean hogs and that celebration will be our "pay off" for looking the other way as we did pre-2016.
A 6-year-old British girl found a Christmas card with an SOS message inside, purportedly from a prisoner in China.
"We are foreign prisoners in Shanghai Qingpu prison China. Forced to work against our will. Please help us and notify human rights organisation," the message in one of a pack of cards from the grocery store Tesco said.
Every year or so, this type of message pops up in products bought from large retailers like Zara, Kmart, and Walmart that maintain factories in China.
They are rarely authenticated, however, with some retailers calling them a "hoax" or pinning the blame on activists.
The cards, fronted with a picture of a kitten wearing a red Santa hat, were made for Tesco at Zhejiang Yuanguang Printing, about 35 miles south of Wenzhou on China's east coast.
Florence Widdicombe, from South London, found the note, which said: "We are foreign prisoners in Shanghai Qingpu prison China. Forced to work against our will. Please help us and notify human rights organisation."