Risk Management Tools

[padron]

I'm interested in hearing what Agrivillers' views are on available tools for grain risk management. The lastest version of federal Business Risk Management tools, crop insurance, ICE futures, bonding, and anything else that's working well or working poorly. Mostly I'd like to hear what ideas people have to improve the current situation - if you feel that it needs improvement.

What are your risk management needs? Do you use futures or options contracts? Yes - why? No - why not? Do you forward contract grain? Same questions.

I know, I know - get rid of the CWB yadda, yadda. I get that one - let's hear something new.

I'd like to see some good dialogue on this topic. People are interested in your views.

Thanks.

[parsley]

Sounds like you've been instructed to compile a five point ag policy list to hand in to an election team.

FOREX.

[parsley]

http://www.jucanor.com/page.php?page_id=8

[padron]

Probably a half dozen "studies" like this going on right now but I don't see anyone talking to actual grain producers. Thought I'd give it a go through this forum.

[SASKFARMER3]

All programs that are out now have way to much administration for peanuts to the farmer, that's coming from 20 years with Ag Canada. They created a Accounting nightmare for farmers and made accountants huge dollars. Canadian programs dont work ask the Grain farmers in 02 and 04, the livestock in year of BS. And the hog guys right now.
Simply lots of BS and no cash to producers. I lost a mill in 02 and 04 and ended up with a 100 after about 5 years and now have to pay 100 back.
Simply as long is Ag Canada is a Eastern Entity made up of civil servants it will never ever work for the farmers.

[parsley]

Now there's enlightenment.


WHEN WESTERN FARMERS FINALLY REALIZE AG PROGRAMS ARE SET UP FOR INTERESTS OTHER THAN WESTERN FARMERS, THEY WILL NEVER BEG OTTAWA AGAIN.

Pars

[sumdumguy]

Now Sask Crop Insurance will run CAIS out of Melville. Will farmers be satisfied then? I guess it will depend on the management, and where they come from.

[timm]

cais margins should include all years when averaging

[sumdumguy]

I agree Tim. If you have one really good year, its thrown out and the poorest one too.

[charliep]

Just to highlight risk management is more than government income stabalization or disaster offset. The original question was also about crop insurance and forward pricing. It also could include things that individuals do within their own businesses which likely includes maintaining a healthy balance sheet.

[Hopperbin]

Why not run caise from Sask.crop ins.?

[Hopperbin]

My bets are on Sask. crop ins. management will kick the shit out of the old caise management.

[sumdumguy]

The management may not be Sask Crop Insurance as you think, Same Old.