Seed treating equipment

[GlennOliver]

Starting to treat more wheat and there
must be a better way than what I am doing.
Have been treating into the air seeder but
it is taking 40 - 45 minutes to treat each
tank full. Any ideas?

[crusher]

Thanks for maintaining your bearishness. Bins are locked until it rains in the states.

[charliep]

The market will do whatever it does over the next month. I suspect you have a good base of new crop pricing done. Nothing wrong with sitting back and doing nothing. Just realize this market has potential for a set back/retracement equally as fast as it went up.

I have trouble using the word bearish and $13/bu new crop canola and $8/bu 1CWRS 13.5 straight off the combine. Hard to make a mistake on pricing in here. Errol mentioned options strategies in another thread. Yes, there are production problems but price has never been a way to make up for poor yields. If you live in Alberta, your crop insurance is backed by the variable price benefit (coverage increases if prices are more than 10 % higher than the spring values).

[jensend]

i think they will try to use the olympics as a diversion from a lot of crap that will come out over the next month and hope it fades away before it hits the radar. this rate fixing scandal could do a lot of damage to england's financial services sector and it is a large part of their economy. people should go to jail for doing 'god's work'. lol. the americans are using the election to take attention away from how sick their economy is. if oil continues to fall (and it likely will according to gartman yesterday) how long can they maintain the ethanol mandate? the republicans are against it already and it's just getting more expensive.

[SASKFARMER3]

Charlie price never makes up forpooryield. Dah
selling canola now vers last fall. Hm 50at 11 = 550
or 36.6 at 15 = 550 now with a good basis. Selling
because companies say it can't go higher is bs,
your giving them supply with locking in production.
Once in last 20 years off the combine was the
highest of the year. We have the raw product that
they need to keep working. Reading what's
happening all over gives one a edge talking to
growers all over is a edge, listening to grain
companies is bs. Yes the world banking system
and debt is a huge problem.huge.

[charliep]

Have never suggested selling because a company told you to. Forward selling because it is a good price, there is potential pain of lower prices and has a fit with a businesses financial plan (profit, cash flow, bin space management, etc.).

I will take you up on your proposition that prices in the fall are always lowest (19 out of 20 years). When I have looked at things, a farmer with a disciplined new crop pricing program can do better most years than a neighbor that sells in the fall in the cash market. If you are rich enough/have the resources to defer all your pricing to the winter, that makes the decision a little different but it is still not 1 in 20 when dealing in the cash market only gives you a better price.

I noted oneoff comment comparing forward pricing to speculation/gambling. An interesting comment from an industry where everyone here has close to $200/acre cash costs sunk into their crops and most don't have a clue what the end financial results will be. Crop insurance provides some backing. Forward pricing is a part of this puzzle.

[rhoff]

Gartmans short oil? Then that really explains the
price action today.

[SASKFARMER3]

I agree but selling in feb jan most years is higher
than fall. If your cash flow is that tight one down
turn and your done. Yellow richie bros.
Disiplined selling does average you out. But again
selling all in fall for today's price you miss future
op. 15 sure is nicer than 11 to 12 last fall.

[SASKFARMER3]

Also why is 6 or 7 good price when it's 2012 and
my diesel bill is more than I made when wheat
was 6 or 7 years ago.
Maybe the new caught up price is 12 canola and
7 hrs.
People need to eat and baring ww3 they will pay
for food.

[oneoff]

I invite charlie and errol to dispute the Stats Canada data on the profitability of farming over the long term.
I'll agree that the industry could point to some achievements; but taking out necessary investment in land and iron; what do farmers; on average; and throughout their career have to show for their efforts each year.