Interesting comments from participants who have suggested over time with holding grain/oilseed inventory from the market as a mechanism to push for higher prices. That is the right of any business.
Also have to ask what rate of return farmers expect on their fertilizer dollars. Over time, the suggestion has been farmers quit applying fertilizer when the return is less than 2 to 1. $2 of increased crop revenue for every $1 of fertilizer investment. I realize a good part of the discussion is about being asked to make major decisions about inputs/costs when the actual sale price is unknown. that is, the ability to manage risk.
Also have to ask what rate of return farmers expect on their fertilizer dollars. Over time, the suggestion has been farmers quit applying fertilizer when the return is less than 2 to 1. $2 of increased crop revenue for every $1 of fertilizer investment. I realize a good part of the discussion is about being asked to make major decisions about inputs/costs when the actual sale price is unknown. that is, the ability to manage risk.
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