Corn and soybean projected prices for the 2017 crop insurance year were recently released by the Risk Management Agency (RMA). The projected price for corn is $3.96 while the price for soybean is $10.19.
This article looks at historical price patterns which can be used to determine a pre-harvest pricing strategy. Because of the record high ending stocks placing pressure on all three futures traded commodities, we will present both a 20-year average price pattern and a pattern for years with very high ending stocks for each.
Individual grain marketing plans contain both producer expectations and market fundamentals. In order to improve marketing plans it is important to understand how market fundamentals could impact changes in future prices.
Developing a post-harvest marketing plan when prices are low can be difficult. This article offers information for wheat growers on federal price support options through crop insurance, farm bill program payments or Marketing Assistance Loans or Loan Deficiency Payments.
Farmers know that yield risks vary across the state; however, the ability to compare yield risk between counties is new. Using crop insurance premium calculation data, we can quantify the expected insurance payment (or indemnities) by evaluating the county crop insurance reference rate. A high reference rate value implies higher historical payments and consequently more production risk and a higher crop insurance premium. Lower reference rates imply lower risk and lower premiums. Risk varies widely from one end of the state to the other, highlighting the need to consider general recommendations broadly and customize decisions to your data and situation. County-level risk maps for irrigated and non-irrigated corn production in Nebraska are included.