Grain Update: How Bullish Are You?
First of all, I’d like to thank all of you that made special efforts to get settled up on your deliveries so far this Fall. This is crucial for our operations. In order to be able to continue to take in grain, we are required to have ownership of all grain that we want to put into temporary storage. And as you can see by driving by, many, if not most, of our locations have quite a bit in temporary storage. This is one of the great things about being a part of a cooperative endeavor. Staying “fluid”, and being able to move grain around, is up to all of us. So, we thank you and more importantly, our other members thank you.
Where do we go from here? This is a consistent question being asked by most grain farmers across the country. I will continue to point back to your own individualized marketing plan. (You do have a marketing “plan”, right?) I was talking to a guy last week that told me when he went home and plugged his yields into his spreadsheet, it became obvious that he didn’t need the prices he thought he did prior to Harvest. I will continue to talk about Total Gross Dollars per Acre and ask that if you are bullish, how bullish are you? And perhaps, how bullish can you afford to be? If you are in the profit zone, how much risk do you want to absorb?
I still think that beans are going to have a tough time getting through $9 on the board. And I also think it’s going to take some unknown demand to get cash corn anywhere near $4 any time soon. So, you tell us, where do we go from here? If there is a specific cash or futures price you need to achieve, leave a firm offer with us. If you’d like some help putting a marketing plan together, call and make an appointment with one of our grain buyers. The labor intensive part of getting the crop in is almost done, now comes the hard work. We’re here to help, let us know how we can assist you.
As you already know, Harvest is not really over until the field work is finished and everything is put away. With that being said, please continue to keep your entire operation working safely as you wrap things up for another growing season.
-Tom Guinan, Grain Origination Manager