The following commentary does not necessarily reflect the views of AgWeb or Farm Journal Media. The opinions expressed below are the author's own.
Bob Utterback has more than 26 years of experience and offers producers a disciplined approach to marketing.
So, JR, what do you want, a medal or a chest to pin it in ? So you bought a year's worth of corn, big deal. How can you possibly make a statement wondering how corn farmers think ? They made decisions based on their business beliefs and so do you. You wouldn't be singing this tune had the economy not tanked. You'd be paying 5 dollars plus for corn and you will again. Anybody can look back and say what should have happened, the trick is to able to look forward and do the same. If you paid 7 dollars for corn and state that it's not profitable, I guess your forward vision wasn't any better than the corn farmers you're cackling about now. If you mind your own, you'll be busy enough that you won't have to worry about anyone else.
It is pretty simple.
Most sat a target price that was at over slightly above break even.
For most that target price never materialized.
It is hard to keep selling our products below the price of production.
If you are in an area where the basis is huge like it is here (-60 on new crop corn and -56 on beans) it is even more of a challenge to hit break even.
Were these farmers being stupid or greedy like 8 O Clock suggested? No they were just hoping to cover their expenses. The reason they missed the boat was because the boat hit an iceberg and sank after the June 30th USDA report and never made it to the port.
8 O clock likes to use hind site so the real answer to this low market is that we should not have planted any corn and then we would not have to worry about frost, super wet corn that needs drying, harvesting at Christmas time and marketing.
Hey Guys it might be time to go long the market,,,reason number 1..Bob is so bearish that he is picking on the producers marketing decisions. 2,GDUs are very short. 3,USDA says corn demand will pick up. 4,China wants Soybeans they have said that out loud. 5,USA has less Beans on hand that USDA will admit to. 6, South America has no Beans. 7, Ethanol is getting its legs back. 8,Pigs and Cattle eat corn always have always will. 9,Our Country is recovering. 10,I don't care what Bob says...I'll do it my way.