Extension grain market economist recommends spreading out old crop sales

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Extension grain market economist recommends spreading out old crop sales

An extension grain market economist recommends spreading out old crop sales to deal with ongoing volatility.

Ed Usset with the University of Minnesota tells Brownfield farmers with grain in the bin should think about making smaller, more frequent deliveries.

“Don’t think about when (you) should sell that 50,000 bushels that’s in the bin, think about selling two trucks on Monday, two trucks on Friday, and do that for a number of weeks. Spread it out.”

He says Russia’s invasion of Ukraine, problems with South American crop production, and concerns about input prices and drought in the U.S. make it very difficult to predict which direction the market might go.

“Shoot for a good average, don’t try and be a hero and pick the top.”

Usset says he’s not complaining about the recent market swings because “volatility goes with high prices” and provides good selling opportunities.

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