What is AWP blending?
“Blending” is used to transition the AWP from one crop year to the next. Instead of using an AWP based solely on the current “A” Index, the forward (or new crop) “A” Index is introduced on a graduating scale. The process begins by giving the current “A” Index two-thirds weight and the forward “A” Index one third for two consecutive weeks. For the next two consecutive weeks, each index receives equal weight in the calculation. During the next two consecutive weeks, the current “A” Index receives one third of the weight while the forward “A” Index gets two thirds. At the conclusion of the six weeks of blending, only the forward “A” Index is used.
