We strive to assist our members in marketing grain at profitable levels. Below are several tools to use when making your grain marketing decisions
MEET OUR GRAIN MERCHANDISERSKyle McCarthy
Non-Traditional Contracts (NTCs)
Just as the name suggests, non-traditional contracts are contracts that involve more than the traditional sale of exchanging the commodity for cash. NTCs are tools that take advantage of the futures and options market in order to reduce the price risk associated with marketing commodities. These contracts are flexible, can be used for a variety of commodities, and have varying degrees of risk associated with them to accomodate individual risk preferences. Click on the links to learn more about each contract.
Firm Offer: Place an offer to sell at a desired price.
Hedge-to-Arrive: Set the futures price for delivery at a later date.
Extended Price: Stop storage and remain in the market.
Bonus Premium: Receive a premium on old crop in exchange for a Firm Offer on new crop.
Specialty Contracts are contracts that are individually tailored to use a specific marketing strategy for individual commodities. These contracts usually involve pooling bushels from multiple producers and applying the specific marketing strategy to the pool. Contracts in this section change frequently so check back often.
Merchant Plus Marketing: Let the market analysis professionals at INTL FCStone market your grain for you.
Mean Contract: Take advantage of high seasonal prices and reduce your price risk by averaging the price over time.
ProAdvantage Grain Marketing Plan
The ProAdvantage Grain Marketing Plan gives you the professional advantage when it comes to managing the marketing risk of your commodities. Producers work one-on-one with the risk management consultant, Kyle McCarthy, to develop a comprehensive marketing plan tailored for your operation. Kyle will advise in the development and help in the execution of the plan. Fees are flexible and are based on the level of involvement for the risk management consultant.
All futures, basis, and price levels in these examples are for demonstration purposes only and may not reflect true values. Contact Kyle at the Grain Office (308-487-3325) for quotes. Availability of select contracts are at the discretion of Farmer's Coop Elevator Company. Entering these contracts does not gaurantee a certain price will be received or that a profit will be made. These contracts are meant as a risk management tool to reduce the marketing risk associated with selling a crop.