Our country’s political situation definitely results in volatile markets – which is why we cannot stress enough, the importance of having a plan. With all the back and forth in market news between the US and China, the only certainty we know is that it will indeed bring volatility to the markets.
Our grain department offers a multitude of contracts which bring tremendous value back to your farm gate. Three contracts that we highly recommend post-harvest are the Minimum Price contract, Extended Price contract, and Cash Offer contract.
The Minimum Price contract allows you to sell your grain today, receiving cash while setting a price floor, and allowing you to retain the upside potential of a futures month of your choice. The Extended Price contract allows you to sell your grain today, receive a cash advance, eliminate storage completely; while leaving the futures price exposed to both upside and downside potential. Lastly, the Cash Offer contract allows you to choose a price level and a delivery location. The major benefit of the Cash Offer contract is that it will continue to work while the markets trade day and night, minimizing the amount of time you need to spend watching the markets to achieve your price goal.
Not only does Key Cooperative offer numerous grain contracts, but we also offer assistance in developing marketing plans as well. We can walk you through various contracts, answer questions and tailor a marketing plan to your specific operation and break-even levels at no cost.
Reach out to any one of our expert grain originators to get your contract questions answered or to design a marketing plan specific to your operation.
Greg Artz- 515-215-0062
Zack Gardner – 641-521-1834
Moriah Van Maanen – 641-780-0555
Rick Weigel – 641-990-1713