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Manage Margins throughout the Planting Season

May 7, 2012
 

 

Planters across farm country rolled out at a quick pace. A good portion of the corn crop is planted, however, Chris Barron author of "Ask a Margins Expert" says not to get too excited.
 
"We do have a quick planting pace, pushing 55 to 60% planted but on the other hand we still have 40% left to plant," Barron says.
 
He predicts planting will slow over the next couple weeks because of weather. Barron says that currently the marketplace is feeling like the crop is going to be large and yields are going to be high. He cautions farmers that it is a long road until harvest and says there could be profit opportunities in the near future if farmers are prepared to take advantage of them.
 
"At this point we don’t have everything planted and we don’t know that we’ll have great yields," he says. "We need to put our risk management hats on and know our costs and when we see an opportunity to capture a margin that is reasonable for our own specific operation and take advantage of it."
 

 

 

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RELATED TOPICS: Marketing, Risk Management

 
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