David Maloni's Page

US agricultural exports for the most part have grown considerably in recent years. The deflated US dollar has opened some doors and the world so far is greeting us with a friendly; “more please.” In June, nearly half of the 17 million pound increase in US butter exports was to countrie… Continue

The chart of the week is the Weekly Chicken-Feed Cost Ratio (an indicator of producer profitability) versus the Boneless Skinless Chicken Breast Market. You may have heard it said; “As the boneless breast market goes, chicken producer profitability goes.” The chart below supports this. As chicken breast prices have risen historically chicken producer margins have improved and vice versa. Its well documented that chicken producer profitability has struggled in recent months due mostly to the surg… Continue

The chart of the week is monthly milk cow slaughter. June milk cow slaughter was slightly larger than a year ago but was basically even with the June prior 5 year average. Now one may think when they see this chart that the data is relatively uneventful. But uneventful data can be as newsworthy as sharp volatile swings sometimes. How so? Well the trade has been anticipating a reduction in the milk cow herd for some time now leading to slower milk production growth and tighter milk supplies. Howe… Continue

This may be the first time I spend my weekly blog writing about a produce item but my point is broader as hopefully you will see. This week the discussion involves potatoes. The USDA recently published their estimate for 2008 Idaho fall potato acreage which is 300,000. Sounds like a lot of acreage going to one product in one state but as we look further plantings are 14% or 50,000 acres less than a year ago. As a matter of fact, Idaho potato acreage this year is the lowest since 1980. About 90%… Continue

It’s a fear for just about every guy; you take your date to the dance and she leaves with somebody else. Do you think ethanol has been feeling a little slighted lately? The chart below is a rough estimate of ethanol producer margins. The chart illustrates two major particulars regarding the ethanol industry. First, ethanol producer margins have waned from a year ago which has been well documented. Second, when the corn markets had their latest run up it became very difficult if not impossible fo… Continue