Columnists

Old- And New-Crop Challenges

Fri, 01 Apr 2011 18:17:00 +0000

For many months, the futures market for corn has been inverted – at times more than $1/bu. – from the July 2011 to December 2011 contracts. An inverse from old-crop to new-crop futures is not rare. They occur in crop years like 2010-2011, when ending stocks at year-end are tight.

Save Nutrients, Save Money

Fri, 01 Apr 2011 16:52:00 +0000

According to the United Nations, the global popu-lation will increase by more than 2 billion people in the next 40 years, and many reports have indi-cated that food production needs to double by 2050. Industry experts agree that increased food production will be achieved by intensified crop production, more so than by an expanded arable land base.

The $178 Solution

Tue, 01 Mar 2011 19:48:00 +0000

Last summer, ammonia fertilizer was $420/ton, and in late January it was $787/ton: an 87% increase in six months.

Try This Perspective

Tue, 01 Mar 2011 19:43:00 +0000

Bull markets are a source of joy or heartache, depending on the approach taken to price grain and your current position in the market. It is joy for the farmer with unpriced grain in storage and nothing priced for 2011 or beyond. It can be heartache for the proactive marketer who stepped up to the plate and swung early and often at pricing opportunities that today look cheap.

Work At Landowner Relations

Tue, 01 Feb 2011 17:26:00 +0000

Probably the most important task for growers today is negotiating cash rents. Most of our clients rent about two-thirds of the land they farm, and I think that percentage will go up in the years ahead. So it has a big impact on their bottom line.

New Year And A Fresh Start

Sat, 01 Jan 2011 20:52:00 +0000

I confess that as 2010 came to a close, I felt exhausted. Maybe you did, too. There is nothing easy about grain markets, or the pricing decisions that must be made in a difficult environment. We should be thankful that the new year arrived, and with it a fresh start.

Have a Backup Lender

Sat, 01 Jan 2011 20:40:00 +0000

Farming is a business that requires large amounts of capital, and few of us can run a farming operation without the help of a lender to provide part of that capital.

Make Your Own Luck

Wed, 08 Dec 2010 14:23:00 +0000

Recently, I learned of two situations where farmers were upset by land-rental situations that happened to them. That doesn’t surprise me, as tenant/landowner relationship is often a lightning rod in the game of farming. One occurred where a client called me and said his landlady was proposing to more than double his rent.

Christmas Ghosts

Wed, 01 Dec 2010 17:36:00 +0000

What a year in grains! The first half was dominated by the bears, but the momentum shifted and the second half has been all bulls. With Christmas and year-end looming, the 2010 battle is ending in a rout.

Corn’s Tipping Point

Mon, 15 Nov 2010 16:38:00 +0000

How could the price of new-crop corn futures rebound from a low of $3.50 at the end of June to $4.40 at the end of August, and spike to $5.80/bu. by mid-October? Surely there must have been a terrible crop disaster!