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Ok need marketing help! Marketing in a shitty delivery system!

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    Ok need marketing help! Marketing in a shitty delivery system!

    Ok since it's all about marketing let's look at what's working and what isn't when dealing with delayed contracts and poor railroad service.
    We're in year two with delayed contracts etc.
    prices dropped and now money from sales is more important than ever.
    So again we all need help to see what's working in the new reality because nothing is going to change any time soon. God help us if we produce a 2014 crop again.
    Lots use contracs for fall grain movement to get cash in fall, basically the elevators know this so basis if booked early is higher usually than at this time of year. As farmers get closer to fall basis will increase.
    So using contracts to book delivery get you in the door with your product but then the wheels can fall off if everyone rushes to the door at the same time.
    Producer cars?
    Hauling out of area to areas with movement, big cost but I'f delivery happens and contracts are for a decent enough price is it better than waiting and waiting.
    Grade does effect fall deliveries. If you have #2 big protein then not bad but if their mixing to get it to a 1 or two and you have three or feed because of fuz etc then it's delayed. That is understandable.
    But I'm saying if grade is their why delays?
    Crushers are another topic as cash flow gets tight on farms in area sone are getting extra delivery to cover last years cost or the company needs their input side so let's deliveries happen ahead of others. Lots of theories out their.
    So basically after having a discussion with a few experts on moving grain and even canceling a couple things I use to get.
    Here is the question for all!
    1. what is working in their area. Telling the elevator to go to hell isn't what I'm talking about.
    2. What contracts work and what don't, looking at the big picture not just each area.
    3. Producer cars time to get etc and experience! We use to ship that way awhile ago.
    4. Planning a year out helps but if the wheels fall off then what does every one do.
    5. Selling at liquidated prices to cover sale short falls from late deliveries isn't a answer even though it's taking place every day.
    6. Planning is key but some times the best plans are needed to be changed when gongs out of your control change.
    7. Some main lines not getting service plus some lowers volume lines.
    8. Should a farm liquidate 80% off the combine and say f$&k it it's gone who cares.
    9. Quit growing crops that can't ,move!
    10. USA delivering and what issues have happened this year good bad or ugly.

    So yes it's a marketing thread and I'm at my wits end to come up with a plan for 2015! Because if we do grow a large crop again it's going to get ugly real fast.

    We can't win against the system that's in place but how can we survive and keep growing crops and get around his situation. Waiting for a piss poor crop isn't the answer.
    So if your plans worked let others know!

    #2
    I know this isn't helpful for your current situation sask, but the worse this $hit$how gets, the more likely it is that there will be the political will to fix it, once and for all. There is no bandaid 40% quota call masking the lack of adequate rail transportation. At least this way, farmers aren't the only ones having a backlog of freight anymore. Unfortunately it's still costing us a pile though.

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      #3
      1. what is working in their area. Telling the elevator to go to hell isn't what I'm talking about....Not a solution at all, pleading maybe

      2. What contracts work and what don't, looking at the big picture not just each area... Malt contracted all picked up at Pioneer

      3. Producer cars time to get etc and experience! We use to ship that way awhile ago...Neighbors waiting on 25 or so that were to come Feb

      4. Planning a year out helps but if the wheels fall off then what does every one do... yes forward price on getting a crop to deliver starting Sept.

      5. Selling at liquidated prices to cover sale short falls from late deliveries isn't a answer even though it's taking place every day... done that to have space, sold cheap

      6. Planning is key but some times the best plans are needed to be changed when gongs out of your control change.... true

      7. Some main lines not getting service plus some lowers volume lines....Viterra Wadena was terrible lack of cars for 2 months

      8. Should a farm liquidate 80% off the combine and say f$&k it it's gone who cares....have it priced, space filled up fast in last 2 harvests.

      9. Quit growing crops that can't ,move! ... grow which ever are to a local market.

      10. USA delivering and what issues have happened this year good bad or ugly....To far for us not an option

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        #4
        How about alt delivery point immediately after del month. At their expense of course.
        The elevator could have diverted cars to your point to move your product.

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          #5
          If grain co's were forced to take delivery or pay out contracts the cars would get there before contract expires . I tried to tell Tom this but he went on some weird tyrant about the poor grain co's can't afford to do that - B/S

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            #6
            Sadly the only few ways to manage poor deliveries is to max out cash advances and get extended line or credits for most guys in that situation .

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              #7
              I aggressive on the contracts and payout if product doesn't get picked up in delivery month not the three month window now in place! Seems we're storing their product now more than ever and no plus dollars in pocket! Just getting frustrated at the whole industry! Canola for month to crusher 40 loads done in jan for good price so far we have delivered 13 with five more monday and Tuesday. So were 22 behind for the month On wheat 36 loads short!

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                #8
                did a sept. pea contract the other day.
                I was told right off that , i should not expect to move it , in harvest.
                peas in the south will get the company's cars first.,
                should i have priced for nov. to get a better price? and haul in feb. march.

                tough if not impossible to plan anything.
                Malt and contract canola were the only things that moved quick here last fall.

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                  #9
                  Maybe your plan should be to grow a good crop and get it in the bin in good condition at least expense possible, or to grow something you can actually depend on delivering if cash flow in the fall is that critical. If you can't get that done maybe time to ask some hard questions

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                    #10
                    Grow smaller market crops that move!

                    Stop with the Hard red spring already. Feed the pigs for the same money!

                    I dunno, that is where I am going.

                    I am not growing a dang thing in the coming year that relies on trains at all. This has been brutal...

                    No more. I am lucky I have a o lot of pig barns around. 4 dollar feed barley is not bad money for example. For my farm, the net is very close to canola, with way less inputs and risk.

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                      #11
                      BFW you were such a great help. Do you even know what rail issues are. Do you realize crush plants are not living up to their contracts because they cant move meal or oil.
                      After you understand those then give a comment about a plan. Because if this shit show continues farmers will start doing some major shit. Maybe flooding your little old town with our grain.
                      It was a simple question crops aren't moving contracts are behind and all is not well in Farmville.

                      Comment


                        #12
                        You think this hasn't happened before? For years we didn't grow wheat because we got tired of waiting for quota and for the train to come so we could haul. You make adjustments. Didn't have the internet to bellyache to everyone over about it. I admit the non performance on contracts is a problem. Quit making them or change them as you suggest. Contracts are a tool that is becoming overused anyways and probably hurt the market overall. Once you have signed a contract to deliver the grain company holds all the cards.

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                          #13
                          You can not sell to anything to a grain co here now without a contract

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                            #14
                            I get it furrow. It really does give the grain cos or the packers or whoever all the power though. If things are to change then we as producers need to change s well

                            Comment


                              #15
                              No shit but I'm looking for a sewers to this problem.

                              Comment

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