Lock in fall prices! The call came yesterday!

[SASKFARMER3]

Hurry limited tons have to do by Friday close of business!
Hrs. $6.63 for a 2 high Protein
Canola $11.50
Peas 8.70
Lock in deliveries lock in prices hurry hurry best deal in town.

In marketing terms don't let the door hit you in the ass as your leaving.

Next thing will be shortage of fertilizer and seed do to the drought! Hurry hurry! Please please mr farmer spend!
NO.

[Hopalong]

The beauty of free markets is that we can either accept or reject offers like this.

[jake550]

Sounds pretty good compared to a few months ago to be fair.
I'd be tempted with the wheat if it hits $7.00 but on our farm it's pretty uncertain what we'll grow as of today and we have a bit priced already.

[Rareearth]

I have to remind every one.
1. It's not in the bin
1. What if we have a week of rain at harvest? I remember when....
1. What if it freezes?

2. Refer to number 1

[farmaholic]

Don't be so cynical SF3.

[sumdumguy]

These temperatures are brutal! We are going to have precooked lentils.

[biglentil]

I agree with SF3, graincos are on the fishing phone hoping a big sucker answers and locks in. I guarantee they aren't using barbless clauses on those 300lb test contracts.

[Braveheart]

SF3, if you don't like those prices don't lock them in. Maybe you're waiting for them to go lower?

My question is, would you rather they didn't phone? Or, when they did call did you counter with something like, "$11.50 is on the low side. I'll take $12.50 to start for canola"?

[sumdumguy]

They probably are going to be short-short-short-trying to sc**** up all the old crop they can get. I don't know how much forward selling they do, but do you remember the CWB and the Russians? I suspect that the cereals market is much like special crops. The aggressive companies write lots of farmer contracts and pre-sell a portion of the unharvested product so .....

[charliep]

Just curious if when you have the conversation with the grain company representatives you 100 % say no/don't bug me (assuming you think you having something to sell) or do hit them with some ideas where you would do business.

You potentially in the drivers seat. They will have export business they have done/a grain terminal they want to fill.

Do you have a price you would do business? Not a GPO but price that you would say yes to today?

Is there a basis you would consider locking in with all futures market gains or losses your benefit/pain? Will let you sort currency.

Would you do business if they included a no cost call option? Guarantee today's price with all futures improvement to your benefit?

[farmaholic]

Tell them to put in a target and let it sit until they keep raising the price offer until you decide its enough. Opposite of what we are required to do. Tell them its a limited time offer. Limited tonnes. Your call when you're going to deliver(with in 90 days of contract specifications), even if they need it. For more money(dispatch) you will deliver early or when they call.

[charliep]

Just highlighting the ball is your court. Are willing to put forward ideas or is that 100 % the buyers responsibility? Why don't farmers take more of the same approach to way they would in negotiating price on price of equipment or a truck?

[cottonpicken]

Remember when we where talking con tango/backward and remember when it was advised on here when to sell cash because it was a no brainer and remember "ya what if this thing drags on forever".anyone remember?

http://www.barchart.com/commodityfutures/Spring_Wheat_Futures/MW*0

[TOM4CWB]

Charlie

We are a good rain away from making some grain we can sell.

If the 1" show up as predicted... we will be able to fill contracts... 2" and will start some new sales for fall.

It is truly a miracle what is out here... crops are just hanging on where there is good soil. poor soils are really a sorry looking mess.

This is one year where the quality of dirt... and residue retained on surface to hold moisture for crops... will be the biggest swing factor in farm yield.

[TOM4CWB]

BTW,

It is likely a good idea to check around with good neighbours before new contracting... to see how short on outstanding contracts they are... after this next week. It may be worth some good community spirit and cooperation... if done in a humble manner not to put the screws to them.