Anyone else get a call from Cargil ??

[charliep]

Just curious if they will offer you a basis contract? What is the basis?

Lots of tough and dry canola out there. If a farmer isn't set up to handle, then these offers may be worthy of consideration. The question then becomes how you keep your upside open (assuming your bullish).

Note today beanoil futures 45 cents/lb and canola futures close to $500/tonne. Prices dry canola should be $11 ish with an aggressive basis. You put in the discounts for grade and higher moisture/drying.

Not suggesting I know what to do. Just encouraging to have a plan including dealing with the wet stuff.

[charliep]

Freudian slip. Should be tough and damp. Not tough and dry. I only wish!

[bgmb]

Target Master, Market manager ect ect = FREE call option for grain company. As you buddy just found out, the call option he gave cargill was well into the money.

[furrowtickler]

But what I don't get is how did a 9.35 just hit? It has been above ten for a long time.

[Hopperbin]

Furrow it should not have hit today at that price. All grain companies I deal with give the market price if the market price is above your hit price. So even if a target price got hit today and you have your signature on it and it is still current, your grain company should be giving you todays price. Furrowtickler you must tell them what you think of them they are obviously not on this planet.

[furrowtickler]

I won't sell grain there unless no one else has room and we must move something. (Once in 5 years type thing) And my buddy never signed sfa with them this year. I am just raising attn to some of the stunts they are trying to pull and how their integretiy is going down the toilet even more than before.

[NeilS]

furrow

Am I to understand that your buddy entered a verbal agreement with Cargill to sell them canola at a target price, and when it hit, he wants to renege because it is too low, and they have no written contract to back them up?

If that is the case, he has no sympathy from me.

[mbratrud]

Target Prices are a good tool but always make sure they expire witin 30 days of writing them. Much can happen in a short time, people forget about these all the time. That is unfortunate. Any Marketing Rep from any company worth their salt would have been on top of this before and following up with their customers. Just goes to show they are not "Marketing Reps" they are used car saleman!