Marketing advisors

[helmsdale]

With the little crop I will have to market from this yrs disaster, marketing this crop will be quite easy.
I will be locking the bins. LOL

I for one, am somewhat jealous. If I could lock bins that'd be kinda neat... That said, there likely aren't enough bins to hold the meager crop thats here. Rented land... No bins come with it... "Livin the Dream!"

There's a certain amount that is going to have to get sold in this garbage market just to make expenses, but even with meager storage, there are 2 flat bottom bins on farm here that have been holding chemical and excess building materials for 3 years!

[jdg364]

Sort of building on helms comments.. I think there have been many older grain producers continue to farm past their planned retirement age just because these last few years have been prosperous in ag (specifically in areas that had some rain or good crop insurance levels).

However if grain prices are going to be in the dumps and the line of making $50/ac or losing $100/ac becomes the new reality, I see a lot of land coming for rent and maybe a little more for sale. These producers will hold their grain to defer tax pain and roll the dice that wht prices will be closer to $10 than $5. Just thinking out loud.

[agstar77]

Strange , lately we have been getting calls on 7.75 WHT. Hurray, won't last long.

[furrowtickler]

Strange , lately we have been getting calls on 7.75 WHT. Hurray, won't last long.

6.75 here now and dropping

[furrowtickler]

Hail in area tonight, nothing significant but …… a reality check why one can’t forward sell any significant amount till it’s in the bin
it has cost guys in this area , and to an extent us huge this past 3 out of 4 years but we are generally “too conservative” on pre selling, a fortune that is not there.
grain companies have near zero liability, it’s all farmer risk
I will take a small loss to make sure my family is fed before theirs
just my opinion

99% of the time there is only one winner when short a contract, and it’s never the farmer who put the sweat equity and a fortune into actually growing it . Most contracts are just 5 minute paper transaction that takes zero effort or money on the buyers part

still bugs me when there is commentary from those in industry that state “well you could have sold for way more money”
sorry you have zero clue on reality of farming

[furrowtickler]

2018 we had a beauty crop , all good quality, then it snowed heavy 1/2 way through , completely fuked grade .
frost in late August, 2004, many in here remember as a nightmare … yet Sask ag and industry said nothing to worry about .. again zero clue on reality
I am sure many in here can state the obvious even more that actually farm , and farmed for more than 10 years

[furrowtickler]

Once it’s in the bin and you know what you got , I agree completely with others, Weber and Kostal hands down the best
But to be the hindsight 20/20 saying we should have pre sold more … gfys, until you lose it after the blood , sweat , tears and massive inputs, you have zero clue

[furrowtickler]

There has been some excellent advice here from several posters , I guess I am just offering the devil’s advocate on pre selling only because I have seen the dark side no one wants to say about contracts and being short

[jdg364]

Furrow…what you’re describing has happened to majority of producers and that’s the reason why many producers only pre sell 0-33% of there crop insurance numbers.

However I think since the 2021 buyout fiasco, I think many producers have skipped the “elevator” risk and opened a brokerage account. That way you can hedge with paper, call/put, futures, etc and then market your grain once it’s in the bin.

This is not gospel but on our farm (it’s spread out over 30 miles so that if one area is wrecked, hopefully the other area does well), we presell between that 15-40% of Scic number and if I want to go over that I use paper and then close that trade after I make a cash sell after harvest sometime. I still have basis risk, but I’ve found the futures will move faster and eat into our profit more than the basis. Just my two cents.

[foragefarmer]

Unless they know your entire farm financial situation down to payments, etc they will advice to sell in bits and pieces. There I just told you what to do for free. ????????????

Personally I’ve never used one and I feel I’m money ahead doing things on my own.

Each to their own.

Always wondered about advisors, why waste your time selling marketing advice to others when you could be making money hand over fist for yourself if you have that kind of information at your finger tips?