Wal-Mart Could Be Cutting Prices; Wheat Import Tax Increase
One of the nation’s largest supermarket-style stores could squeeze suppliers for price cuts on everything from sports equipment to groceries. Reuters reports Wal-Mart Stores earnings numbers suggest more price cuts and reduced cost-sharing deals. Last week, Wal-Mart stunned Wall Street by forecasting that its earnings would decline by as much as 12 percent in its next fiscal year. Officials for a top recruiting firm for Wal-Mart suppliers said “suppliers are going to have to help Wal-Mart get back on track.”
India has again increased its wheat import tax as a poor harvest raises the prospect for higher import demand. Agrimoney reports India has managed without significant imports for years as the world’s second largest wheat producer but shortages of high-quality wheat triggered a rise in imports already this year. In August, India imposed a wheat import duty for the first time in 8 years, after reported wheat imports from Australia. USDA forecast Indian wheat imports over the 20015-16 marketing year at 800,000 tons, the largest in since the 2007-2008 marketing year.